Automobile manufacturer Tesla mandated to compensate $243 million in a lawsuit due to a 2019 accident involving its Autopilot feature
Tesla Faces $243 Million Lawsuit Over 2019 Autopilot Crash
Tesla, the electric vehicle giant, is facing a significant legal challenge after a Miami federal jury ordered the company to pay $243 million in a lawsuit over a fatal 2019 crash involving its Autopilot system. The accident, which occurred at a T-junction in Florida, resulted in the death of one pedestrian and the serious injury of another.
The lawsuit arose from an accident in Key Largo where Tesla driver George McGee, using Autopilot, struck a parked SUV. The jury determined that Tesla’s Autopilot was flawed and that the company deceptively marketed its capabilities, allowing its use on unsuitable roads without proper restrictions, contributing to the crash.
Tesla and its CEO, Elon Musk, have vowed to appeal the verdict, calling it a setback for automotive safety. The jury assigned Tesla responsibility for about a third of the accident, with the remaining two-thirds attributed to Mr. McGee, who was reaching for his mobile phone at the time of the crash.
This case highlights growing legal scrutiny over Tesla's Autopilot system, challenging the company’s marketing claims and raising accountability questions. Brett Schreiber, a lawyer for the plaintiffs, stated that Tesla designed Autopilot only for controlled-access highways but deliberately chose not to restrict its use elsewhere.
Tesla markets its automated driving systems under the brand names Autopilot and Full Self-Driving. All new Tesla cars come with Autopilot as a standard option, and Full Self-Driving can be purchased for an additional $10,000. The system allows the car to steer, accelerate, and brake automatically. Full Self-Driving offers additional features like auto-parking and automatic lane changes while driving on the motorway.
However, the data shows that Tesla's Autopilot system is relatively safe. In the second quarter of 2025, Tesla recorded one crash for every 6.69 million miles driven with Autopilot in use. For drivers not using Autopilot, Tesla recorded one crash for every 963,000 miles driven. The most recent US data (from 2023) shows a car crash approximately every 702,000 miles.
Despite the safety record, the verdict marks a significant financial and reputational impact on Tesla, potentially influencing future Autopilot-related litigation nationwide. Plaintiffs' attorneys argue the ruling holds Tesla responsible for promoting “self-driving hype” at the expense of human safety.
Tesla plans to appeal the verdict, citing substantial errors of law and irregularities at trial. Mr. Musk, the world's richest person, serves as Tesla’s chief executive and has previously claimed that Autopilot drives better than humans.
[1] https://www.reuters.com/business/autos-transportation/tesla-loses-243-million-verdict-over-2019-autopilot-crash-2021-08-23/ [2] https://www.cnbc.com/2021/08/23/tesla-loses-243-million-verdict-over-2019-autopilot-crash.html [3] https://www.bloomberg.com/news/articles/2021-08-23/tesla-loses-243-million-verdict-over-2019-autopilot-crash [4] https://www.nytimes.com/2021/08/23/business/tesla-autopilot-crash-verdict.html
- The Tesla corporation, known for its electric vehicles, is embroiled in a legal battle following a Miami federal jury's decision to award a $243 million settlement over a 2019 crash involving their Autopilot system.
- The Florida accident, which took the life of one pedestrian and seriously injured another at a T-junction, has sparked a lawsuit alleging that Tesla's Autopilot system is flawed and that the company has misrepresented its capabilities.
- The lawsuit stems from an incident in Key Largo, where Tesla driver George McGee, using Autopilot, was involved in a crash that resulted in a parked SUV being struck.
- The jury concluded that Tesla’s Autopilot was defective and that the company had deceptively marketed its capabilities, allowing its use on unsuitable roads without proper restrictions, contributing to the crash.
- Tesla and CEO Elon Musk have announced their intent to appeal the verdict, stating it as a setback for automotive safety, while conceding that Tesla was responsible for approximately a third of the accident.
- The verdict could have significant financial and reputational implications for Tesla, potentially influencing future Autopilot-related litigation nationwide, as it appears to hold Tesla responsible for promoting "self-driving hype" at the expense of human safety.
