Tesla Inc. has been ordered to pay $243 million in damages over a 2019 crash in Florida involving its Autopilot system—a major legal setback for the electric vehicle maker as it defends its driver-assistance technology in court.
A federal jury in Miami ruled that Tesla bore 33% of the responsibility for the crash, which killed 27-year-old Naibel Benavides Leon and seriously injured her boyfriend, Dillon Angulo. The collision occurred when a Tesla Model S ran a stop sign at a T-intersection in the Florida Keys and struck the couple’s parked Chevrolet Tahoe as they stood nearby.
After deliberating for less than a day following a three-week trial, the jury awarded $42.5 million in compensatory damages and another $200 million in punitive damages. Tesla has said it expects the punitive amount to be lowered by the court and plans to appeal the verdict.
“Today’s verdict is wrong and only works to set back automotive safety and jeopardize Tesla’s and the entire industry’s efforts to develop and implement life-saving technology,” the company said in a statement. “We plan to appeal given the substantial errors of law and irregularities at trial.”
This marks a rare courtroom defeat for Tesla, which had previously won two similar trials in California. The company has also resolved several other Autopilot-related lawsuits through confidential settlements.
The verdict arrives at a challenging time for Tesla CEO Elon Musk, who is under pressure from investors following a volatile relationship with President Donald Trump and weak second-quarter earnings. Musk has tied Tesla’s future to autonomous driving through plans to launch a robotaxi business, but during the earnings call, he warned of several “rough quarters” ahead.
The Miami trial featured testimony from the Tesla driver, George McGee, along with engineers, family members, and outside experts. Data from McGee’s vehicle indicated that he activated Autopilot while driving home from work and later pressed the accelerator to exceed the speed limit by 17 miles per hour, overriding the adaptive cruise control just before going off-road.
McGee testified that he was distracted while on hold with American Airlines to change a flight and dropped his phone, causing him to look away from the road. As the car veered off course, he said he tried to brake after noticing a change in road texture. Despite acknowledging that he was responsible for driving, McGee said he expected Autopilot to intervene if he made an error.
“In that case, I do feel like it failed me,” he said in court.
McGee had previously reached a confidential settlement with Benavides Leon’s family in 2021 over the same incident.
Lawyers representing the victims’ estate argued that Tesla’s Autopilot promotes overconfidence among drivers and lacks adequate safeguards. They said Tesla and Musk have exaggerated the system’s capabilities, contributing to misuse.
“Today’s verdict represents justice for Naibel’s tragic death and Dillon’s lifelong injuries, holding Tesla and Musk accountable for propping up the company’s trillion-dollar valuation with self-driving hype at the expense of human lives,” said Brett Schreiber, lead attorney for the victims.
Tesla’s legal team contended that McGee bore full responsibility for the crash, citing his history of speeding and distraction at the wheel. They emphasized that Autopilot worked as intended and that no available driver-assistance system in 2019 could have prevented the accident.
Tesla’s Autopilot is categorized as a Level 2 system under the industry’s automation scale, which ranges from Level 0 to 5. Level 2 systems require continuous driver attention and involvement, unlike higher levels that allow for greater autonomy.
