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OceanGate’s Legal Nightmare Unfolds: Waivers May Not Save Them

OceanGate could potentially face lawsuits from the families of the deceased passengers of the Titan submersible if investigations into the incident uncover instances of gross negligence. Despite having signed waivers, the enforceability of these liability waivers could be challenged by the families, according to William Mack, a commercial litigation lawyer and partner at Davidoff Hutcher & Citron. Mack anticipates that the legal representatives of the families will argue that the liability waiver should not apply in cases involving gross negligence.

Additionally, Mack expects the families of the deceased passengers to appoint an independent expert to conduct a thorough review of the implosion. There is a possibility that investigators will conclude that OceanGate withheld critical information about the risks and misrepresented the safety of the submersible. 

The implosion that resulted in the loss of all lives on board is currently under investigation by US and Canadian officials. The Canadian Transportation Safety Board has stated that its inquiry will also encompass the Polar Prince mothership, which is registered in Canada.

The US National Transportation Safety Board will assist the US Coast Guard in their investigation, as announced on Twitter by the NTSB. Mack suggests that if negligence beyond the scope of the liability waiver is determined as the cause of the deaths, lawsuits may be filed promptly. In a 2018 lawsuit, a former OceanGate employee, David Lochridge, claimed wrongful termination after raising concerns about poor quality control and safety protocols of the submersible, which paying passengers were reportedly unaware of.

It is alleged that OceanGate neglected to conduct crucial non-destructive testing of the experimental design. Furthermore, the incident claimed the life of OceanGate’s co-founder and CEO, Stockton Rush. Mack speculates that the company may face winding up and potential bankruptcy, expressing doubts about its future prospects. According to legal experts, the families of the passengers may still be eligible for life insurance payouts, despite having signed liability waivers. Insider’s request for comment from OceanGate outside regular working hours went unanswered at the time of reporting.

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