Tiger Beat (emphasis mine):
“The Federal Aviation Administration is facing its greatest crisis in years, as multiple investigations seek to understand what went wrong at an agency that spent the past decade amassing what had been considered the best aviation safety record in the world.
“That record is now tarnished, after a total of 346 people died since October in two crashes involving the Boeing 737 MAX — a plane the agency approved after allowing the company to conduct much of its own oversight of the certification process, under a regulatory strategy Congress has repeatedly endorsed. And the scrutiny comes as the FAA nears its 15th month of waiting for President Donald Trump to nominate a permanent leader.”
So self-regulation doesn’t work? I’m shocked. Speaking of being shocked, I’ve not seen any official word from Transportation Secretary Elaine Chau, wife of amply be-chinned Mitch McConnell.
Being the child of lawyers this liability analysis in the LATimes caught my attention:
“Boeing’s risks might be rising after a report in the Seattle Times that the company’s safety analysis for the airliner’s new flight control system had crucial flaws. Much of the legal liability depends on the findings of investigators, as well as the contracts Boeing has with airlines that purchased the planes.”
As most stories about legal liability, this is kind of bloodless to put everything in terms of dollars, but it also (of course) is about guilt; if you are not guilty of anything there will be no awards.
The story goes on to list the cascading damages besides the victims of the plane crashes. You see, the airlines of the grounded planes can sue Boeing for lost revenue while the plans remain grounded (and presumably for any loans to buy the planes), and of course the airlines of the crashed planes can sue as well. And then there’s all the potential cost recovery when someone loses the case. The victims families can sue the airlines of the crashed planes, and the airlines can sue Boeing, and…
This has ripples that extend way beyond the obvious, but it really all comes back to allowing companies to self-regulate, which puts it at the feet of Congress. And as I’m sure we’ll learn soon enough that this specific self-regulation scheme came while Republicans were running roughshod over common sense, claiming that the Invisible Hand wouldn’t allow companies to do something so bone-headed as to not perform due diligence.
So by their philosophy, Boeing is in the soup because of market forces. Therefore, Boeing should not get bailed out by the US gubmint. Hahaha, but of course they will be bailed out. Corporations are people, my friends! Look to see who is owned by Boeing.