Article: 5586 of rec.aviation.misc Path: newshost.ncd.com!ncd.com!olivea!charnel!yeshua.marcam.com!news.kei.com!sol.ctr.columbia.edu!math.ohio-state.edu!sdd.hp.com!think.com!think.com!bruce From: bruce@zarathustra.think.com (Bruce Walker) Newsgroups: rec.aviation.misc Subject: WSJ article on Liability proposal Date: 20 Oct 1993 20:00:22 GMT Organization: Thinking Machines Corporation Lines: 35 Distribution: world Message-ID: NNTP-Posting-Host: zarathustra.think.com Tuesday's _Wall Street Journal_ contained an article about the bill in committee in Congress which would eliminate GA crash liability for planes more than 15 years old. Over half the House are signed up as co-sponsors. Labor, industry and pilot groups support it...it seems only the trial lawyers are against it. Some key points of the article: -- Cessna says it would start production planning of single engine GA aircraft "the day the bill passes" and could hire 1500 workers and build up to 2000 planes in 1996. It currently makes 130 business jets a year. -- Piper says passage of the bill would cause insurance companies to eventually feel better about insuring fleets *under* 15 years old, at which time they will be able to spend some money on research and development. -- All companies complain that they are automatically sued in ever crash because they are perceived to have deep pockets. -- American General says liability insurance costs them $10k/plane ("second-most expensive component, after the engine"). [This is smaller than I would have thought.] -- Beech presented an analysis of 203 lawsuits concerning crashes in the 80s. NTSB blames for the crashes ranged from pilot errors, weather, ATC errors, poor maintenance, ..., but never Beech's design or manufacturing. However, "plaintiff's attorneys claimed 100% of those crashes were the fault of the manufacturer." The cases cost Beech an average of $530k each. -- --Bruce Walker Thinking Machines Corporation, Cambridge, MA bruce@think.com; +1 617 234 4810; WT1M