A federal judge in Miami has denied Tesla’s attempt to overturn a $243 million verdict awarded to the family of a victim in a fatal 2019 Autopilot crash, as well as to a survivor. The ruling deals another blow to the electric vehicle manufacturer as it navigates the burgeoning autonomous vehicle market.
The tragic incident involved a Tesla Model S driven by George McGee, who was utilizing the company’s Enhanced Autopilot system. While driving in Key Largo, Florida, McGee reportedly dropped his phone and, in an attempt to retrieve it, believed the system would automatically brake for obstacles. Instead, the vehicle accelerated through an intersection at over 60 mph, colliding with a parked car and striking Naibel Benavides, 22, who was standing nearby, killing her and severely injuring her boyfriend, Dillon Angulo.
Last year, a jury found Tesla partially liable for the crash. Tesla subsequently filed an appeal, seeking to have the verdict dismissed or to secure a new trial. However, U.S. District Court Judge Beth Bloom, in an order issued on Friday, stated that the evidence presented during the trial fully supported the jury’s verdict. She found no errors in the proceedings nor any new arguments that would warrant a new trial or a modification of the original judgment.
Brett Schreiber, lead trial counsel for the plaintiffs, expressed satisfaction with the ruling, noting it was “completely unsurprised” that the judge upheld the jury’s decision. He emphasized the “integral role” Autopilot and Tesla’s “misrepresentations of its capabilities” played in the fatal incident. Tesla’s legal representatives have not yet responded to requests for comment.
This judicial decision comes at a critical juncture for Tesla, which is striving to establish a foothold in the competitive robotaxi sector. The company lags behind established players like Alphabet’s Waymo in the United States and Baidu’s Apollo Go in China, both of which already operate commercial ride-hailing services. While Elon Musk has projected a “widespread” U.S. robotaxi network by the end of 2026, Tesla’s current driverless ride-hailing operations are limited to a small fleet in Austin, Texas.
Tesla’s legal team, represented by Gibson Dunn, had argued for a significant reduction in compensatory damages, from $129 million to a maximum of $69 million, which would have lowered Tesla’s payout to $23 million. They also sought to eliminate or cap punitive damages at three times the compensatory amount, citing Florida state law.
The ongoing legal challenges and the technological hurdles in achieving fully autonomous driving highlight the complex landscape for companies investing heavily in advanced driver-assistance systems and autonomous vehicle technology. The market’s response to Tesla’s advancements, and its ability to overcome regulatory and public perception challenges, will be closely watched by investors and competitors alike.
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