Tesla was fined a staggering $243 million for refusing to pay a settlement of 60 million
Tesla rejected a $60 million settlement in a lawsuit involving a fatal car accident in 2019, ultimately being ordered by a Miami jury to pay $243 million in damages. The incident stemmed from a Tesla Model S equipped with an autonomous driving system crashing into parked vehicles, with the plaintiff alleging that Tesla's autonomous driving system failed to operate effectively. The jury found Tesla partially liable for the damages and noted that the ruling could impact the development of automotive safety technology
According to the Zhitong Finance APP, Tesla (TSLA.US) rejected a $60 million settlement offer in a lawsuit related to a fatal car accident in 2019, but after a trial, a Miami jury awarded a higher compensation of $243 million.
The lawsuit stems from an incident in Florida in April 2019, when a Tesla Model S equipped with an autopilot system crashed into a person standing next to a parked Chevrolet Tahoe.
The plaintiff's attorney disclosed this settlement plan in documents filed on Monday seeking attorney fees from Tesla. The plaintiffs accused Tesla's autopilot system of failing to perform adequately and claimed the company exaggerated the system's capabilities, leading to driver misuse and lack of oversight.
The jury found that Tesla was responsible for 33% (or $42.6 million) of the $129 million in compensatory damages and all of the $200 million in punitive damages, bringing the total compensation amount to $243 million. The jury determined that the driver was responsible for 67% of the compensatory damages, but that driver was not a defendant in this case.
Tesla denied any wrongdoing and stated that the ruling "will only hinder the development of automotive safety and jeopardize Tesla's and the entire industry's efforts in developing and implementing life-saving technologies."
Overall, Tesla's rejection of the $60 million settlement significantly increases its legal risks while highlighting the broader industry and regulatory risks faced by autonomous driving technology
