Tesla ordered by Florida jury to pay $313 million in fatal Autopilot crash
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A Tesla car passing the US courthouse in Miami, Florida, where the case was being heard.
PHOTO: AFP
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MIAMI – A Florida jury on Aug 1 found Tesla liable to pay US$243 million (S$313 million) to victims of a 2019 fatal crash of an Autopilot-equipped Model S, a verdict that could encourage more legal action against Mr Elon Musk’s electric vehicle company.
The verdict is a rare win for victims of accidents involving Autopilot. Mr Musk has been pushing to rapidly expand Tesla’s recently launched robotaxi business that is based on an advanced version of its driver assistance software.
Jurors in Miami federal civil court awarded the estate of Ms Naibel Benavides Leon, as well as her former boyfriend Dillon Angulo, US$129 million in compensatory damages plus US$200 million in punitive damages, according to a verdict sheet.
Tesla was held liable for 33 per cent of the compensatory damages, or US$42.6 million.
Jurors found the driver, Mr George McGee, liable for 67 per cent, but he was not a defendant and will not have to pay his share. He had earlier agreed at a separate trial to pay the families an undisclosed amount in a settlement.
“Tesla designed Autopilot only for controlled-access highways yet deliberately chose not to restrict drivers from using it elsewhere, alongside Elon Musk telling the world Autopilot drove better than humans,” Mr Brett Schreiber, a lawyer for the plaintiffs, said in a statement.
“Today’s verdict represents justice for Naibel’s tragic death and Dillon’s lifelong injuries,” he added.
Tesla said it will appeal.
“Today’s verdict is wrong and works only to set back automotive safety and jeopardise Tesla’s and the entire industry’s efforts to develop and implement life-saving technology,” the company said.
The plaintiffs had sought US$345 million in damages. Their lawyers said the trial was the first involving the wrongful death of a third party resulting from Autopilot. Tesla has faced many similar lawsuits over its vehicles’ self-driving capabilities, but they have been resolved or dismissed without getting to trial.
In June, a judge rejected Tesla’s bid to dismiss the Florida case. Experts said the verdict on Aug 1 may spur more lawsuits and could make future settlements more costly.
“It’s a big deal,” said Marquette University law professor Alex Lemann. “This is the first time that Tesla has been hit with a judgment in one of the many, many fatalities that have happened as a result of its Autopilot technology.”
The verdict could also impede efforts by Mr Musk, the world’s richest person, to convince investors that Tesla can become a leader in so-called autonomous driving for private vehicles as well as robotaxis it plans to start producing in 2026.
As Tesla’s electric vehicle sales fall, much of its nearly US$1 trillion market value hinges on Mr Musk’s ability to pivot the company into robotics and artificial intelligence.
The trial concerned an April 25, 2019, incident where Mr McGee drove his 2019 Model S at about 100kmh through an intersection into the victims’ parked Chevrolet Tahoe as they were standing beside it on a shoulder.
Mr McGee had reached down to pick up a cellphone he dropped on his car’s floorboard and allegedly received no alerts as he ran a stop sign and stop light before hitting the victims’ sport utility vehicle. He had previously pleaded no contest to a careless driving charge in Monroe County.
Ms Benavides Leon was allegedly thrown 23m to her death, while Mr Angulo suffered serious injuries.
“We have a driver who was acting less than perfectly, and yet the jury still found Tesla contributed to the crash,” said Carnegie Mellon University engineering professor Philip Koopman, who is an expert in autonomous technology.
“The only way the jury could have possibly ruled against Tesla was by finding a defect with the Autopilot software,” he added. “That’s a big deal.”
Tesla, in its statement, said Mr McGee was entirely at fault.
“To be clear, no car in 2019, and none today, would have prevented this crash,” the company said. “This was never about Autopilot; it was a fiction concocted by the plaintiffs’ lawyers, blaming the car when the driver – from day one – admitted and accepted responsibility.” REUTERS
