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Tesla ordered to pay more than $US200m in Autopilot crash case

Tesla ordered to pay more than $US200m in Autopilot crash case

Miami: A Miami jury decided that Elon Musk's car company Tesla was partly responsible for a deadly crash in Florida involving its Autopilot driver assist technology and must pay the victims more than $US200 million in punitive damages.
The federal jury held that Tesla bore significant responsibility because its technology failed and that not all the blame can be put on a reckless driver, even one who admitted he was distracted by his cell phone before hitting a young couple out gazing at the stars. The decision comes as Musk seeks to convince Americans his cars are safe enough to drive on their own as he plans to roll out a driverless taxi service in several cities in the coming months.
The decision ends a four-year-long case remarkable not just in its outcome but that it even made it to trial. Many similar cases against Tesla have been dismissed and, when that didn't happen, settled by the company to avoid the spotlight of a trial.
'This will open the floodgates,' said Miguel Custodio, a car crash lawyer not involved in the Tesla case. 'It will embolden a lot of people to come to court.'
The case also included startling charges by lawyers for the family of the deceased, 22-year-old, Naibel Benavides Leon, and for her injured boyfriend, Dillon Angulo. They claimed Tesla either hid or lost key evidence, including data and video recorded seconds before the accident.
Tesla has previously faced criticism that it is slow to cough up crucial data by relatives of other victims in Tesla crashes, accusations that the car company has denied. In this case, the plaintiffs showed Tesla had the evidence all along, despite its repeated denials, by hiring a forensic data expert who dug it up. Tesla said it made a mistake after being shown the evidence and honestly hadn't thought it was there.
'Today's verdict is wrong,' Teslas lawyers said in a statement, 'and only works to set back automotive safety and jeopardise Tesla's and the entire industry's efforts to develop and implement life-saving technology,' They said the plaintiffs concocted a story 'blaming the car when the driver – from day one – admitted and accepted responsibility.'
The lawyers said Tesla plans to appeal.
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Tesla approves shares worth $US29 billion to Elon Musk
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Musk must pay Tesla $US23.34 per share of restricted stock that vests, which is equal to the exercise price per share of the 2018 CEO Award, it said in the filing. Tesla's stock has lost about a quarter of its value so far this year as the company grapples with a decline in sales wrought by its aging vehicle line-up, tough competition and Musk's political stances that have alienated some potential buyers. The challenges have been worsened by US government cuts in support for EVs, with Musk saying at a post-earnings call last month that the waning subsidies could lead to a "few rough quarters" for the company before a wave of revenue from self-driving software and services begins late next year.

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