Tesla Ordered to Pay $200 Million Over Fatal Florida Crash Linked to Autopilot
The court awarded $200 million in punitive damages and $43 million out of $129 million in compensatory damages. Tesla is now liable for nearly two-thirds of the total payout. The case marks a significant legal blow to Tesla's driver-assist technology.
The crash occurred when driver George McGee ran a stop sign, flashing lights, and a T-intersection at 62 mph, slamming into a parked Chevrolet Tahoe. McGee admitted fault during the trial, stating he trusted the car to alert him and brake. "I trusted the technology too much," he testified.
Tesla pushed back strongly, calling the ruling "wrong" and claiming it could slow progress in automotive safety. A spokesperson said the driver was distracted and speeding, which violated Tesla's safety instructions. The company also emphasized that drivers are told to stay alert and keep their hands on the wheel.
Plaintiffs' attorney Brett Schreiber argued Tesla's branding, especially the use of the word "Autopilot," misled users. He said the company allowed the system to work on roads it wasn't designed for, and failed to disable it when drivers were distracted. Schreiber also accused Tesla of losing or hiding critical crash data.
Tesla's defense insisted that McGee was solely at fault for dropping his phone and ignoring safety guidelines. They noted that he had driven through the intersection 30–40 times before without incident.
Financial analyst Dan Ives commented that the ruling is a serious setback for Tesla and could impact the wider industry. Legal experts say the case could inspire more lawsuits against Tesla, as similar cases have often been settled or dismissed before trial.
This ruling could lead to increased scrutiny of how Tesla markets its driver-assist features and raise pressure on the company as it moves forward with plans for fully autonomous vehicles.
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