You will choose from current events/news any article of your choice regarding a concept in Commercial Law. Using IRAC (Issue, Rule, Argument, Conclusion), you will write a legal memo formul

Issue:

Fraudulent Misrepresentation?

Whether

Boeing officials have committed fraudulent misrepresentation against Ethiopian Airline and Lion Air

When

Boeing’s officials provided false statements or material omissions regarding proper training to pilots for the new 737 MAX software .

Ignored pilots warnings about the 737 MAX plane issues.

Possible tried to cover up concerns about the aircraft’s system to Ethiopian Airline and Lion Air who relied to their detriments on these misrepresentation, which resulted in these two airline’ plane crashes in past six months killing over 350 innocent passengers.

2

FR

Rule:

3

Any misrepresentation, either by misstatement or by omission of a material fact, knowingly made with the intention of deceiving another and on which a reasonable person would and does rely to his or her detriment.

FR

Argument:

4

1. There is a misrepresentation of a material fact from Boeing

The pilots were not trained for the new automated-system software.

Boeing did not even mention the new feature on pilots’ flight manuals.

Boeing said pilots who had flown an earlier models did not need additional simulator training

In this case, there are significant elements against Boeing in misrepresentation that is consciously false, is intended to mislead another and Ethiopian Airline and Lion Air justifiably rely on the misrepresentation.

FR

Argument:

5

1. There is a misrepresentation of a material fact from Boeing

2. There is an intent to deceive from Boeing

Boeing did too little after at least 5 FAA complains about 737MAX.

After the second crash with Ethiopian Airline, Boeing still reaffirmed 737MAX’s safety.

Boeing was cited by FAA for “negative work environment” among its employees for speaking up.

In this case, there are significant elements against Boeing in misrepresentation that is consciously false, is intended to mislead another and Ethiopian Airline and Lion Air justifiably rely on the misrepresentation.

FR

Argument:

6

1. There is a misrepresentation of a material fact from Boeing

2. There is an intent to deceive from Boeing

3. Lion Air and Ethiopian Airline justifiable relied on Boeing misrepresentation

Boeing is known not only as the biggest airline manufacture –almost 90% of the aviation market- but also for high safety.

No one would doubt its decision on no need additional training

-> over 350 casualties from the two recent crashes.

In this case, there are significant elements against Boeing in misrepresentation that is consciously false, is intended to mislead another and Ethiopian Airline and Lion Air justifiably rely on the misrepresentation.

FR

Conclusion:

7

Therefore, Boeing committed fraudulent misrepresentation against Ethiopian Airline and Lion air in the incidents involving two plane crashes.

FR