Families of crash victims hailed the ruling as a victory for victims' rights, emphasizing the need for accountability rather than backroom deals.

The plea agreement was initially reached after renewed scrutiny following a safety incident involving a 737 Max, which highlighted ongoing quality issues at Boeing.

This ruling adds to Boeing's ongoing crisis stemming from the 737 Max crashes, which have prompted calls for greater accountability and transparency.

The judge's decision reflects ongoing frustrations from victims' families who have long sought accountability for Boeing's actions and have criticized previous settlements as insufficient.

The crashes that led to these charges occurred in Indonesia and Ethiopia, resulting in the tragic loss of 346 lives.

A U.S. federal judge has rejected Boeing's plea agreement related to fraud charges stemming from two fatal 737 Max crashes.

On December 5, 2024, U.S. District Judge Reed O'Connor dismissed a plea deal that would have allowed Boeing to plead guilty to a felony conspiracy charge for misleading regulators about the 737 Max, which was involved in crashes that killed 346 people.

The plea deal was tied to Boeing's involvement in the 2018 and 2019 crashes, which were linked to miscommunications regarding a critical pilot safety system.

Following the ruling, both Boeing and the Justice Department have 30 days to propose next steps, which may include negotiating a new plea deal or proceeding to trial.

Attorneys representing the victims' families praised the judge's decision, calling for a more stringent renegotiation of the plea deal to ensure accountability from Boeing.

Judge O'Connor expressed concerns about the inclusion of diversity, equity, and inclusion (DEI) policies in selecting an independent monitor, questioning whether such factors could undermine public confidence.

The rejected deal would have allowed Boeing to plead guilty to defrauding the FAA, included a fine of up to $487.2 million, and required independent monitoring for three years.