A Florida jury has ruled against Tesla Inc., ordering the company to pay $243 million in damages stemming from a 2019 fatal crash involving its Autopilot feature. The incident occurred when a Tesla Model S collided with a parked SUV, resulting in the death of Naibel Benavides Leon and severe injuries to her former boyfriend, Dillon Angulo.
Damages and Liability
The jury awarded $129 million in compensatory damages and $114 million in punitive damages, with Tesla being liable for 33% of the compensatory damages, totaling $42.6 million. The driver, George McGee, was found responsible for 67% of the compensatory damages but will not be required to pay.
Tesla’s Response and Plans
Tesla plans to appeal the verdict, arguing that it undermines automotive safety and the development of life-saving technology. The company’s attorney criticized the decision, stating that Autopilot is a safe feature when used properly.
Implications and Precedent
This case is the first trial involving a third-party wrongful death linked to Autopilot, potentially setting a precedent for future lawsuits. The verdict comes after Tesla’s failed attempt to dismiss the lawsuit in June, which allowed the case to proceed and highlighted potential design defects and failure to warn claims against the company.
Why It Matters
The verdict has significant implications for Tesla and the development of autonomous driving technology. The company is facing scrutiny from regulatory bodies, including the California DMV, which has filed a lawsuit to potentially ban Tesla from selling cars in the state for 30 days over false advertising related to its Autopilot and Full Self-Driving features.
Additional Challenges
Tesla is also under fire from New York officials over a bylaw change that restricts shareholder lawsuits, drawing criticism for what some investors call a “bait-and-switch” tactic. This legal landscape poses challenges for Elon Musk as he continues to position Tesla as a leader in autonomous driving technology.
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