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AIRLINE IN 9/11 $$ DEAL – WITH 32 FAMILIES

American Airlines has agreed to settle claims by 32 families of 9/11 victims for alleged security failures that enabled terrorists to seize control of two of the jets in the attacks on the World Trade Center and the Pentagon.

The settlements came to light at a recent court hearing before Manhattan federal Judge Alvin Hellerstein, who has barred parties in the case from discussing the terms of the deals or identifying the individuals involved.

“We’ve negotiated settlements of 32 wrongfuldeath cases to date, your honor,” American Airlines attorney Desmond Barry said on July 21, adding that another 64 families are in ongoing negotiations.

The majority of those involved in the federal litigation are families of slain airline employees and passengers.

Several families of victims who died in the Twin Towers are also part of the lawsuit.

“It’s my very strong desire that those who settle should get their money very rapidly. This case has the highest priority in my office,” Hellerstein told attorneys in the case.

“These are just not dry negotiations. Lives with extraordinary potential have been wiped out. And I think the process reminds people of what they lost. It is less of what they gained and more of what they lost,” the judge continued.

A pair of hijacked American Airlines planes were used to attack the north tower and the Pentagon, while two additional planes operated by United Airlines – which is also named in the lawsuit – crashed into the south tower and a field in Pennsylvania.

By pursuing the federal lawsuit, the families opted out of collecting payments under the Victims’ Compensation Fund established by Congress.

“Some people felt that taxpayers should not be paying for it. All of my clients were people who wanted answers. They were not interested in just receiving a government payout,” said attorney Justin Green, who represents a number of families in the case.

Settlement talks are set to continue through August.

Meanwhile, lawyers in the case are gearing up to grill top-level airline and security company officials about safety procedures and alleged failings that allowed the attacks to occur.

The 9/11 families and the Transportation Security Administration are at odds over how much information should be disclosed.

Lawyers in the case have been required to undergo special security screening.

Calls to attorneys for American Airlines were not returned.