Judge rejects Boeing 737 Max settlement

In his ruling, Reed said the government’s previous years of monitoring the firm had “failed” and raised concerns about requirements that the parties consider race in hiring the monitor.

He also noted the objections brought by some families of the 346 people killed on the flights, who had criticised it as a “sweetheart” arrangement that did not properly hold the firm to account for the deaths.

On Thursday, lawyer Erin Appelbaum, partner at Kreindler & Kreindler, which represents 34 families who lost loved ones when Ethiopian Airlines Flight 302 crashed in 2019, praised the outcome.

“This is an excellent decision by Judge O’Connor and a significant victory for the victims’ families,” she said in a statement.

“We anticipate a significant renegotiation of the plea deal that incorporates terms truly commensurate with the gravity of Boeing’s crimes. It’s time for the DOJ to end its lenient treatment of Boeing and demand real accountability.”

Boeing and the Department of Justice did not immediately comment.

The two sides have 30 days to develop a new plan.