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More families Lion Air victims set to sue Boeing

More families Lion Air victims set to sue Boeing

Aviation authorities around the world grounded Boeing 737 MAX aircraft in the wake of the Ethiopia accident and the USA manufacturer has taken a hit on the stock market.

Earlier in the week, Southwest also admitted that the grounding of its 34 737 MAX planes has led to canceling about 150 flights per day, and would do so all the way until May 2019.

The grounding of the airline's 24 B737 Max jets after recent crashes involving Lion Air and Ethiopian Airlines aircraft, has resulted in about 90 AA flights per day being cancelled, and airline officials said there is no immediate solution to the problem in sight.

American Airlines has extended its cancellation of Boeing 737 Max flights through June 5.

The company halted delivery of its 737 Max planes when they were all grounded on 13 March. Jefferies expects Boeing to deliver 497 737 MAX planes, down from 580.

Followed by the crash of an Ethiopian Airlines jet on March 10th, killing all 157 souls on-board, just minutes after take-off, deliveries of Boeing Co.'s best-selling aircraft, Max 737 were terribly suffered after aviation authorities had decided a global-scale grounding of Boeing's Max 737 aircrafts.

The lawsuit alleges that Boeing failed to inform pilots of the dangers and risks of a new automated anti-stall system known as MCAS.

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American Airlines now has 24 Boeing MAX 8 Aircraft in its fleet, and has more of the aircraft on order.

Legal complaints are mounting, with consumer advocate Ralph Nader urging a recall of the Max on behalf of his grand-niece who died in the Ethiopian Airlines crash.

"A six month delay also means lower margins due to penalties owed to customers, weaker negotiating position with airlines as airlines consider cancellations, and operational inefficiencies from the production disruption", Epstein said.

Lawyer Michael Indrajana said that since the crash, families in Indonesia have faced a complicated and painful process against Boeing and Lion Air in their battle to get compensation. "We know it's been frustrating for our customers, but we have taken several steps to try to minimize the inconvenience and frustration".

CEO Dennis Muilenburg added that Boeing was creating a committee to review how it designs and develops jets in order to ensure the "highest level of safety".

On Friday, the company cut its monthly 737 production by almost 20 percent, signaling it did not expect aviation authorities to allow the plane back in the air anytime soon.