MH370 puzzle seen leading to out-of-court settlements

May 11, 2014

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Kuala Lumpur, May 11: The lack of any evidence indicating what caused flight MH370's disappearance raises a legal conundrum that is expected to force Malaysia Airlines into out-of-court settlements with angry next-of-kin, aviation law experts said.

More than two months since MH370 disappeared, no wreckage has been found to even confirm a crash, let alone apportion blame.

But relatives of the 239 people on board can still come after Malaysia Airlines because under international aviation law it is an airline's responsibility to prove it was not to blame for an accident.

"On the surface, (Malaysia Airlines) is responsible," said Jeremy Joseph, a Malaysian attorney specializing in transport law.

The "burden of proof" rests on the national carrier to clear its name, he added.

Under International Civil Aviation Organisation rules, next-of-kin in an air crash are entitled to an automatic minimum of about $175,000 per passenger, regardless of fault, payable by an airline's insurance company.

But Malaysia Airlines is also vulnerable to civil lawsuits for potentially greater damages by hundreds of relatives already infuriated over the lack of information on the case.

The Beijing-bound plane disappeared on March 8 and is believed to have crashed in the Indian Ocean. Theories on what happened include a terror act, rogue pilot action, or mechanical problems.

No significant legal moves have yet been made as families closely monitor an immensely difficult search in vast ocean depths that has so far found nothing.

"When there is no cause identified, it is hard to see how the airline has or has not shown the absence of fault," said Alan Tan, a professor of aviation law at the National University of Singapore.

The size of any damages would depend on where lawsuits are filed. Next-of-kin can file in the country where an airline is based, where tickets were purchased, where the passengers were headed or where they lived.

Since most passengers were from China or Malaysia, most cases could be filed in the two countries, where courts are more conservative in awarding damages compared to countries like the United States.

Damages are typically based on the lost lifetime earnings of a victim and thus could total in the hundreds of millions for all passengers combined.

"In the US, settlements usually are in the $1 million-$3 million range. For Malaysians or Chinese, salaries are lower, and hence, recoveries will be lower," said Paul Stephen Dempsey, director of the Institute of Air and Space Law at Canada's McGill University.

A US law firm is already planning a "multi-million-dollar" lawsuit against Malaysia Airlines and aircraft maker Boeing, on behalf of an Indonesian passenger's family.

But legal experts said few cases will likely end up in court. They expect undisclosed out-of-court settlements between families and Malaysia Airlines and its lead insurer, German giant Allianz.

This would allow the loss-making carrier — which was struggling amid intense competition even before MH370 disappeared — to quietly lay the matter to rest and focus on rebuilding its image.

"Because of its unprecedented nature, the courts are going to look at (MH370) very carefully. That is something the airline will try to avoid unless settlement expectations from the victims families are perceived by Malaysia Airlines as unreasonable," said Malaysian attorney Joseph.

Adds Tan: "This avoids court uncertainties and protracted litigation, and most claims will end up being negotiated and settled this way, particularly those outside the US."

In the case of Air France flight 447, which crashed in the Atlantic with 228 people aboard in June 2009, the airline's insurers made compensation payments to relatives.

Only a small number of lawsuits were filed, with a Brazilian court awarding one family an equivalent of more than half a million US dollars, before its flight data recorders were recovered in 2011.

A combination of mechanical failure and pilot error were eventually blamed.

Allianz would bear the brunt of any payouts for MH370, sparing the already financially struggling airline.

Malaysia Airlines told AFP its insurance coverage is adequate for all eventualities, declining to give details. But experts said the carrier will likely face higher future premiums.

Courts are considered unlikely to apportion any blame to Boeing, engine manufacturer Rolls Royce, or other parties without evidence implicating them.

Alleging incompetence and secrecy by Malaysia's government and the airline, about 300 next-of-kin already have banded together to press for answers.

Malaysia Airlines has begun making some payouts to families under an "advance compensation process" but has declined to reveal details.

Lawsuits must be filed within two years of an accident. Families are holding off for now as they await news on the search, seeking confirmation of a crash, and emotional closure.

"If today someone cut off your limb, can you buy your limb back?" Yik-Kiong Hue, an MH370 next-of-kin, said in an email.

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News Network
May 5,2024

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Iran has urged Muslim countries to cut all relations with the Israeli regime as means of pressuring Tel Aviv to end its ongoing genocidal war on the Gaza Strip.

Foreign Minister Hossein Amir-Abdollahian made the remarks on Saturday, addressing the 15th Heads of State and Government Summit of the Organization of Islamic Cooperation (OIC) in Gambia’s capital Banjul.

“Beyond doubt, this time period will also pass by, despite all its hardships and adversities for the Palestinian nation,” he said.

“However, the manner and quality of the role that is played by us, Muslim states, in the face of this crisis will go down in history,” the top diplomat added.

“Undoubtedly, severance of diplomatic and economic ties and [imposition of] practical arms and trade embargo [on Israel] serves as an important means of cessation of its genocide in Gaza and atrocities in the West Bank and the Noble al-Quds.”

At least 34,654 people have died in Gaza since October 7, when the Israeli regime began the war in response to al-Aqsa Storm, a retaliatory operation by the coastal sliver’s resistance groups.

Despite the unabated campaign of bloodshed and destruction, the regime has so far fallen short of realizing its goals, including defeating Gaza’s resistance, causing forced displacement of the territory’s entire population to neighboring Egypt, and enabling the release of those who were taken captive during al-Aqsa Storm.

Amir-Abdollahian said Gaza’s developments proved that elimination of the Palestinian resistance “was nothing but an illusion.”

“Because the Israeli regime is not a legitimate government. It is only an occupying apartheid power,” he said, adding, “Passage of time is not going to lend legitimacy to an occupying power.”

The foreign minister asserted that realization of sustainable peace and security in the region was only possible through cessation of the regime’s occupation of Palestine, Syria, and Lebanon, return of the Palestinian refugees to their homeland, and manifestation of Palestinians’ right to self-determination.

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News Network
April 28,2024

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Students in Paris blocked access to a campus building at a French university on Friday, as pro-Palestine demonstrations reach Europe.

The students occupied the central campus building of the Paris Institute of Political Studies, known as Sciences Po, and dozens of others blocked its entrance, echoing protest action at American universities.

Students inspired by Gaza solidarity encampments at campuses in the United States blocked access to a campus building at the prestigious French university on Friday.

They blocked the entrance with trash cans, wooden platforms and other items.

The occupation of the Paris university campus came after police broke up a separate protest at the university’s amphitheater outside one of its Paris campuses.

Scores of student protesters gathered at the building’s windows, chanting slogans and holding placards reading “We are all Palestinians,” in defiance of administrators who students say called the police on their peers two days earlier.

Pro-Palestinian student protesters had occupied the amphitheater outside one of the university’s Paris campuses on Wednesday evening.

The US-style student protests, which began over the months-long Israeli regime’s genocidal war against Palestinians in the besieged Gaza Strip, kicked off in the United States and have now spread to European capitals as well as Australia.

In the German capital Berlin, several people were arrested as police violently cleared a camp of Gaza war protesters at the German parliament.

Pro-Palestinian activists are demanding a permanent ceasefire, an end to the Israeli atrocities, and an arms embargo of the Tel Aviv regime.

The Israeli regime launched the war on Gaza on October 7 last year. The genocidal war has killed more than 34,356 Palestinians, most of them women and children.

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News Network
April 29,2024

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At least 900 protesters have been arrested since the launch of pro-Palestinian demonstrations on university campuses across the US, where students are raging against the Israeli regime’s US-backed genocidal war on Gaza.

The Washington Post reported the tally on Sunday, the 10th straight day of the protests that began after Columbia University set up an encampment to demand cessation of the war and press the school to divest from Israeli financial interests.

The crackdown then started when university authorities called in the police, a move that sparked more than 100 arrests on the university’s Manhattan campus.

Two other highlights in the crackdown saw police forces rounding up roughly the same number of people at New York University and Emerson College in Boston.

Protests have also erupted across numerous other seats of learning, including Brown University in Providence, Rhode Island, the University of Michigan in Ann Arbor, Massachusetts Institute of Technology in Cambridge, and California State Polytechnic in Humboldt.

The ensuing countrywide counter-campaign of suppression has seen law enforcement resorting to riot control methods against the protesters.

The methods have featured “the same tools and tactics” that were deployed to confront the thousands-strong protests that sparked across the country after a Minneapolis police officer killed George Floyd four years ago, the daily reported.

“At Emory University last week, Atlanta police said officers used ‘chemical irritants’ to clear an encampment, and a Georgia State Patrol officer was captured on video using a stun gun to subdue a man on the ground,” it said.

Academics have, meanwhile, been banding together throughout the US under the banner of Faculty and Staff for Justice in Palestine (FSJP).

Earlier in April, the FSJP’s Georgia chapter called on Morehouse College in Atlanta, which invited Joe Biden as its 2024 commencement speaker, to rescind its invitation as a means of objecting to the president’s role in enabling the Israeli genocide.

At Biden’s behest, the United States has been providing the Israeli war with unreserved military and intelligence support.

The US has also vetoed several United Nations Security Council resolutions calling for an immediate ceasefire in the brutal military onslaught that has so far claimed the lives of at least 34,454 Gazans, mostly women and children.

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