Boeing's board face lawsuit from shareholders over two crashes

Washington. Boeing's board of directors must face a lawsuit from shareholders over two fatal crashes that killed hundreds of people, a US judge has ruled.

The manufacturer's 737 MAX was grounded for 20 months worldwide in March 2019 after 346 people died in two crashes -- the Lion Air disaster in Indonesia in 2018 and an Ethiopian Airlines crash the following year.

The lengthy ruling stated that "the Board should have heeded but instead ignored" a "red flag" about the aircrafts' safety systems, known as MCAS, following the first crash.

"The stockholders may pursue the Company's oversight claim against the board," Vice Chancellor Morgan Zurn said Tuesday, dismissing two other claims.