A Miami ju-deciding judge determined that Tesla should be partially responsible for the fatal 2019 autopilot conflict and that it would need to compensate the deceased’s family and injured survivors for $329 million in damages.
Tesla payments are based on $129 million in compensatory damages and $200 million in punitive damages to the company.
The ju apprentice determined that Tesla should be 33% liable for a fatal crash. This means that the automaker will be in charge of approximately $42.5 million in compensatory damages. In such cases, punitive damages are usually limited to three times the compensation.
The plaintiff’s lawyer told CNBC on Friday that he expects the car manufacturer to pay $200 million, as punitive damages were valued only against Tesla, and expects the total payment to be brought to about $242.5 million.
Tesla said it plans to appeal the decision.
The plaintiff’s lawyers had asked the ju apprentice to award damages based on a total of $345 million in damages. The trial in the Southern District of Florida began on July 14th.
The suit was centered on those responsible for a fatal crash in Key Largo, Florida. The Tesla owner, named George McGee, was driving his Model S electric sedan while using the company’s enhanced autopilot, a partially automated driving system.
While driving, McGee dropped the phone he was using and scrambled it to pick it up. He said during the trial that he believes that an enhanced autopilot will put the brakes on if the obstacle gets in the way. His model accelerated through an intersection at just over 60 mph, with a nearby empty parked car and its owner standing on the other side of the car.
Naibel Benavides, 22, died at the scene of a crash-fallen injury. Her body was found about 75 feet away from the point of impact. Her boyfriend, Dillon Anglo, survived, but suffered multiple fractures, traumatic brain damage and psychological effects.
“Tesla designed the autopilot only for controlled access highways, but deliberately chose not to restrict drivers from using it elsewhere. Elon Musk lined up with telling the world to be better than humans. “Tesla’s lies have transformed our path into a test track of fundamentally flawed technology, harming everyday Americans like Naibel Benavides and Dillon Angulo.”
Following the verdict, the plaintiffs’ families hugged each other and their lawyers, and Anglo accepted their mother and were “visibly emotional.”
Here is Tesla’s response to CNBC:
“Today’s verdict is wrong, only risking the entire industry effort to retreat automobile safety and develop and implement Tesla and life-saving technologies. We will appeal in light of the substantial errors in law and irregularities at trial.
The ju umpire discovered that the driver was overwhelmingly responsible for this tragic accident in 2019, but the evidence always shows that this driver is always at fault, not looking to the road because he is speeding, he is stepping into an accelerator that overturns the autopilot. To be clear, there were no cars in 2019 and today it would not have prevented this crash.
This was by no means about autopilots. It was fiction created from day one by plaintiff’s lawyers who denounce the car when the driver admits responsibility and accepts it. ”
The verdict comes when Tesla CEO Musk is trying to convince investors that his company can pivot to self-driving car leaders, and that its autonomous system is safe enough to run the Lobotaxis fleet on public roads in the US.
Tesla shares fell 1.8% on Friday, and now it’s down 25% in the year, the biggest drop among Tech’s Megacap companies.
The verdict could set precedents for autopilot-related litigation against Tesla. Approximately 12 active cases are ongoing, focusing on similar claims where Autopilot or Tesla FSD (full autonomous driving (supervisor)) was in use just before a fatal or harmful crash drop.
The National Highway Traffic Safety Administration began investigating potential safety defects in Tesla’s autopilot system in 2021. During that investigation, Tesla made changes, including software updates for many aircraft.
The agency then opened a second probe. This is ongoing. Tesla’s “recall relief” was evaluated to see whether it resolved issues with autopilot operation, particularly around stationary first response vehicles.
The NHTSA has also warned Tesla that social media posts could mislead drivers that the car acts as a robot taxi.
The site tracking Tesla-Involved Collisions’ Tesladeaths.com reports at least 58 deaths resulting from an incident in which the Autopilot was involved in just before the impact by Tesla drivers.
Read the ju-decision verdict below.
