By Dean Seal


Comair Ltd. is suing Boeing Co. for fraud and breach of contract related to its purchase of eight 737 MAX aircraft nearly a decade ago.

The South Africa-based airline is seeking more than $83 million in damages as part of its federal lawsuit claiming Boeing sold the jets without disclosing known issues with their automated flight-control system, known as MCAS.

MCAS has been widely blamed for two deadly plane crashes in 2018 and 2019 that led to 737 MAX jets being grounded worldwide for years.

Comair alleges that Boeing concealed the MCAS issues and falsely indicated that the pilot skill needed to fly a 737 MAX was "interchangeable" with the training and skill required to pilot its existing 737 NG aircraft.

Relying on those misrepresentations, Comair purchased eight 737 MAX jets in 2013 for a base price of more than $98 million, the company said.

Comair said it has since made more than $45 million in advanced payments on seven of the aircraft and full payment on the one jet it has received so far. Boeing has refused to return the advance deposits on the seven jets that remain undelivered, according to the lawsuit.

Boeing didn't immediately respond to a request for comment on the suit.

Boeing has already reached a $2.5 billion settlement with federal prosecutors related to the 737 MAX and is facing civil litigation from relatives of victims from the 2018 and 2019 crashes.


Write to Dean Seal at dean.seal@wsj.com


(END) Dow Jones Newswires

02-07-23 1200ET