A Florida jury has found Tesla partially responsible for a fatal 2019 crash involving its Autopilot system, ordering the company to pay $243 million in punitive and compensatory damages.
The verdict was delivered on Friday, August 1, following a trial that began in July, according to The New York Times, Associated Press, and CBS News.
The incident, detailed in a lawsuit obtained by PEOPLE, occurred on April 25, 2019. George McGee was driving his 2019 Tesla Model S near an intersection close to Key Largo, Florida. The vehicle was equipped with Tesla’s Autopilot system, which is designed to navigate without driver input — a feature McGee relied upon to get home.
As the car approached the intersection, McGee reportedly dropped his phone and leaned down to retrieve it. At that moment, the Tesla struck two individuals — Dillon Angulo and Naibel Benavides Leon — who were standing beside a parked Chevrolet Tahoe on the shoulder of County Road 905. Leon was thrown 75 feet and killed, while Angulo sustained severe injuries.
According to the complaint, Tesla’s Autopilot system — still in Beta mode at the time — failed to detect the parked vehicle. The suit argued that the system was not sufficiently tested for real-world conditions involving cross-traffic and intersections.
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The plaintiffs further alleged that Tesla had long known about fatal crashes involving misuse of Autopilot in scenarios outside its intended design. Despite this, the company allegedly continued to promote Autopilot in a manner that overstated its abilities and obscured its limitations.
In its verdict, the jury assigned Tesla 33% of the responsibility, while attributing the remaining fault to McGee. He previously settled with Leon’s family for an undisclosed amount, The New York Times reported.
The ruling comes as Tesla CEO Elon Musk prepares to launch a driverless taxi service in select cities, following a trial rollout in Austin, Texas, earlier this summer, Associated Press noted.
In a statement provided to PEOPLE, Tesla criticized the jury’s decision, claiming it could hinder progress in automotive safety and innovation. “Even though this jury found that the driver was overwhelmingly responsible for this tragic accident in 2019, the evidence has always shown that this driver was solely at fault because he was speeding, with his foot on the accelerator – which overrode Autopilot – as he rummaged for his dropped phone without his eyes on the road,” the company said, adding that it intends to appeal the verdict.
Attorney Brett Schreiber, who represents Angulo and Leon’s family, said the case centered on Tesla’s public claims versus its legal positioning.
“Tesla in the showroom overhypes and markets their vehicles as full self-driving, safer than a human,” Schreiber said, citing public statements from Elon Musk that all Teslas leaving the factory were “capable of full autonomy.” In contrast, the company maintained in court that “Autopilot is an extremely limited driver assistance feature, requiring constant supervision.”
“This unanimous jury saw through Tesla’s attempt to make words meaningless and sent a very strong message: when you elevate profits and greed over life and safety, you will be held accountable,” Schreiber added. “Choices and words matter.”
