The Autopilot fatal crash verdict has been announced, with a total compensation of $329 million, most of which will be borne by Tesla

Tesla is held liable for the Autopilot accident, Florida jury awards $240 million, potentially setting a precedent.

On August 1, media reported that a jury in Florida ruled that Tesla Inc. is one-third responsible for the fatal accident involving its Autopilot driver assistance system in 2019.

According to the ruling, the total compensation for the case amounts to $329 million. Tesla is expected to bear approximately $42.5 million in compensatory damages and the entire $200 million in punitive damages, totaling about $242.5 million.

Tesla quickly responded, stating that the ruling is "incorrect" and plans to appeal. The company insists that the entire responsibility for the accident lies with the driver's actions. Tesla's stock price fell 1.83% on Friday.

(Tesla's stock price closed down 1.83%)

Accident Review

The core of this lawsuit revolves around the determination of liability for the accident.

The incident occurred in 2019 in Key Largo, Florida, when the owner George McGee was driving his Model S and had activated Tesla's "Enhanced Autopilot" feature.

During the trial, McGee admitted that he was distracted while driving because his phone fell, and he went to pick it up. He stated that he believed the autonomous driving system would automatically brake when there were obstacles ahead.

However, his Model S accelerated through an intersection at over 60 miles per hour, crashing into a parked car and its owner.

The accident resulted in the immediate death of 22-year-old Naibel Benavides, whose body was found about 75 feet from the point of impact. Her boyfriend, Dillon Angulo, survived but suffered multiple fractures, traumatic brain injury, and severe psychological trauma.

Technical Defect or Driver's Full Responsibility?

During the trial, the arguments from both sides were sharply opposed. Plaintiff's attorney Brett Schreiber stated in a statement:

Tesla designed Autopilot only for controlled highways but deliberately did not restrict its use by drivers in other areas, while Musk told the world that Autopilot drives better than humans. Tesla's lies have turned our roads into a testing ground for its fundamentally flawed technology.

Tesla issued a statement rebutting this. Tesla stated:

Today's ruling is incorrect and will only hinder the development of automotive safety. We plan to appeal.

Tesla believes that the evidence consistently shows that the driver bears full responsibility because he was speeding, had his foot on the accelerator—which overrides Autopilot's commands—and was not watching the road while picking up his phone. Tesla emphasized:

This has never been about Autopilot; this is a fabrication by the plaintiff's attorney

Far-reaching Impact

The significance of this ruling transcends a single case; it may have far-reaching implications for Tesla and the entire autonomous driving industry.

Currently, there are approximately twelve similar lawsuits underway, all involving fatal or injury accidents that occurred after using the Autopilot or FSD (Full Self-Driving under supervision) features.

At the same time, Tesla's driver assistance system is facing strict scrutiny from the National Highway Traffic Safety Administration (NHTSA).

NHTSA launched an investigation into potential safety defects in the Autopilot system in 2021, during which Tesla conducted a series of software updates. Subsequently, the agency initiated a second investigation to assess whether Tesla's "recall remedies" to address Autopilot issues were effective.

NHTSA has also warned Tesla that its posts on social media may mislead drivers into believing that the vehicles can operate like autonomous taxis, even though the user manual clearly states that drivers must keep their hands on the steering wheel and remain attentive at all times.

According to a website tracking Tesla-related collision incidents, at least 58 fatal accidents occurred while the driver had activated Autopilot before the collision.