Elon Musk’s Tesla Ordered To Pay $243 Million In Deadly Autopilot Crash Lawsuit – What Went Wrong?

Elon Musk is having a rare bad day after the Tesla CEO recently clashed publicly with US President Donald Trump. A Miami federal jury has ruled against Musk’s Tesla Inc., ordering the carmaker to pay $243 million in a lawsuit stemming from a 2019 crash involving its Autopilot driver-assistance system. This is the first major court defeat for the car-maker.

Tesla Partially Responsible in Deadly Crash, Finds Jury

The jury found Tesla 33% liable for the collision that killed 26-year-old Naibel Benavides Leon and seriously injured her boyfriend. The incident occurred when a Tesla Model S failed to stop at a stop sign at a T-intersection in the Florida Keys, striking the couple’s parked Chevrolet Tahoe as they stood beside it.

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After less than a day of deliberations following a three-week trial, the jury determined that the Model S driver was primarily at fault. Tesla was ordered to pay $42.5 million in compensatory damages and an additional $200 million in punitive damages. Tesla has stated it expects the punitive amount to be reduced by the court.

What Tesla Said About The Crash

Tesla argued throughout the trial that the driver, George McGee, was solely to blame, citing his distraction from dropping his phone on the floorboard moments before the crash. The company maintained that its Autopilot system operated as intended and that no defects contributed to the accident.

“Today’s verdict is wrong and only works to set back automotive safety and jeopardize Tesla’s and the entire industry’s efforts to develop and implement life-saving technology,” Tesla said in an official statement. “We plan to appeal given the substantial errors of law and irregularities at trial.”

Musk has publicly committed Tesla’s future to autonomous driving and robotaxi ventures. However, Tesla recently warned of “rough quarters” ahead, particularly as US EV tax credits wind down.

Tesla Autopilot Trial

During the trial, jurors heard extensive testimony from McGee, the driver, family members of the deceased, Tesla engineers, and independent experts debating Autopilot’s role in the crash.

McGee testified that he had engaged the vehicle’s driver-assistance system on his way home from work. Vehicle data revealed he pressed the accelerator to 17 miles per hour over the speed limit, overriding adaptive cruise control just before veering off the road.

He admitted being distracted while on hold with American Airlines, attempting to change a flight. “I was looking for my phone after it fell,” McGee said. Noticing a change in road texture, he recalled “jamming on the brakes” as the crash occurred.

Though he acknowledged full responsibility for controlling the vehicle, McGee said he expected Autopilot to assist in case of error. “In that case, I do feel like it failed me,” he testified.

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