Two years ago I wrote that the real victims in the Boeing 737 MAX crashes weren’t the passengers or crew, they were the investors. Not really, but that seemed to be what was going to happen in the courts with the strongest legal claims and greatest compensation coming from shareholder lawsuits for securities fraud.

1. Boeing made false claims about safety
   
2. Investors were misled
   
3. And they lost money when the stock fell

A class action has now been certified. Seeks v. The Boeing Company, No. 1:19-cv-02394 (N.D. Ill.) was filed on April 9, 2019. It became the main consolidated 737 MAX securities case (In re The Boeing Company Aircraft Securities Litigation). Mississippi’s public employees retirement system was appointed lead plaintiff, and the consolidated complaint was filed on February 14, 2020.

The theory is Boeing allegedly misled the market about the 737 MAX’s safety, pilot procedures and training, dealings with the FAA, and return-to-service timeline. This allegedly kept Boeing’s stock price artificially inflated until the truth came out. This is consistent with the Justice Department’s claim that Boeing employees deceived the FAA about MCAS and pilot-training.

• Boeing knew after Lion Air that MCAS was a serious problem.
  
• Boeing also knew it had previously minimized or concealed MCAS’s scope and training implications to avoid simulator training requirements and preserve the MAX’s sales pitch.
  
• Instead of telling investors the plane had a serious certification and training...

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