News Photo

Tesla Ordered to Pay Millions After Fatal Autopilot Crash

In a landmark ruling, a Miami federal jury has found Tesla partially liable in a 2019 crash involving its Autopilot driver‑assistance system that left one person dead and another severely injured Reddit+15Reuters+15TT News+15TT News+8CNBC+8Investors+8The Daily Beast+2Quartz+2The Times of India+2. The decision marks the first time Tesla has lost a fatal Autopilot case at trial.

Crash Background

On April 25, 2019, George McGee was driving a 2019 Tesla Model S at around 62 mph near Key Largo, Florida. While using Enhanced Autopilot, he glanced down to pick up a dropped cellphone. Believing the system would brake for obstacles, McGee drove through a stop sign and collided with a parked Chevrolet Tahoe. 22‑year‑old Naibel Benavides Leon was killed; her boyfriend, Dillon Angulo, suffered traumatic brain injury and multiple fractures Quartzhttps://www.13abc.com+14KTVZ+14WRAL.com+14.

Liability and Damages Awarded

The jury allocated 33% responsibility to Tesla for the crash CNBC. The total damages awarded were $329 million, comprised of $129 million in compensatory damages and $200 million in punitive damages The Times of India+15Reuters+15Business Insider+15. Based on Tesla’s share and the damages cap, the company is expected to pay approximately $242.5 million—including all punitive damages and its portion of the compensatory award https://www.newschannel10.com+6CNBC+6Investors+6.

Plaintiffs’ Allegations and Evidence

Attorneys for the plaintiffs argued that Tesla’s Autopilot was used on roads it wasn’t designed for, and that the company misled consumers about its safety. They also accused Tesla of initially withholding critical pre-crash data and video, which was later retrieved by forensic experts Reddit+5Quartz+5The Daily Beast+5.

Tesla’s Response

Tesla has strongly disagreed with the verdict, calling it “wrong” and saying it undermines automotive safety innovation across the industry. The company maintains that driver error alone caused the crash and says no vehicle in 2019—or today—could have prevented it. Tesla says it intends to appeal the decision based on alleged legal errors in the trial process CNBC+1WXYZ 7 News Detroit+1.

Wider Implications

Legal and safety analysts believe this verdict could open the floodgates to more trials and larger settlements involving Autopilot—and other driver-assistance systems—by setting a precedent that manufacturers can be held liable for misuse beyond conventional limits https://www.13abc.comhttps://www.kktv.comQuartzBusiness Insider. The case also coincides with increasing regulatory scrutiny, including investigations by the NHTSA and ongoing policy debates over reporting requirements for crashes involving advanced driver-assist systems Reddit.

Market Reaction

Following the verdict, Tesla’s stock dropped by approximately 1.8%, contributing to a weekly decline of around 4.25%. Concerns about Tesla’s safety record and the future of its robotaxi service rollout appear to be weighing on investor sentiment Investors.

Share This News

Comment

Do you want to get our quality service for your business?