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I realize its too late for this accident but why would any airshow allow planes to conduct aerial maneuvers that close to a major roadway? Any mistake, no matter how trivial or inadvertent, would cause the pilot to lose control in an area packed with vehicles and people who may have had no interest in attending the airshow and were just traveling along the highway. Just because you can do something doesn't necessarily mean that you should. I'd expect that the liability issues will permeate the British legal system for years to come and someone, somewhere is going to pay a pretty pound sterling for the errors committed at this event.
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So much speculation, blaming, etc. Did you already hire a lawyer?
Short of only holding airshows in remote areas, there will always be areas around an airshow that have people. Don't forget, something trivial or inadvertent can cause a jet travelling 200+mph to crash many miles from the airport as well.
They do set up the box to avoid the crowd, major buildings, etc. For instance, IIRC, Oshkosh has some pretty funky restrictions that prevent any of the major teams from doing their regular routines, particularly to the north of the airport.
The roadway was probably considered low risk , but due to the traffic being jammed/stopped, happened to be full with cars.