Boeing Wins Major Ruling in Southwest Pilot Lawsuit Over 737 MAX

A Texas Business Court judge has ruled in favor of Boeing, limiting the scope of damages in a lawsuit filed by the Southwest Airlines Pilots Association (SWAPA) related to the grounding of the 737 MAX aircraft.

The lawsuit alleged that Boeing's misrepresentations about the airworthiness of the plane led to its grounding and caused financial losses for SWAPA members, including lost wages, dues, and attorney fees. However, Judge Andrea K. Bouressa found that SWAPA failed to sufficiently connect the dots between Boeing's actions and the damages being sought.

Bouressa wrote in her seven-page order that while SWAPA's pleadings advanced two categories of claims - those based on Boeing's rollout of the new aircraft and those based on alleged misrepresentations made to SWAPA during collective bargaining negotiations with Southwest Airlines in 2016 - the union failed to plead proximate cause.

The judge also noted that SWAPA had 'doubled down' on its pleading of special damages, but did not allege that the grounding of the fleet or subsequent investigations were caused by Boeing's interference with collective bargaining negotiations. As a result, Bouressa granted Boeing summary judgment, wiping out SWAPA's bid to seek consequential damages.