Transportation

Tesla must pay over $242M in damages after being found partly at fault for deadly Autopilot crash

A wrecked Tesla; Naibel Benavides Leon and Dillon Angulo.
Naibel Benavides Leon was killed, and her boyfriend, Dillon Angulo, was seriously injured as a result of a Tesla crash in 2019. US District Court for the Southern District of Florida; Handout
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In a major blow to Tesla, a Florida federal jury on Friday found Elon Musk's electric car company partly to blame for a 2019 crash that left a 22-year-old woman dead and her boyfriend seriously injured.

The jury sided with the plaintiffs, awarding the family of Naibel Benavides Leon and her boyfriend, Dillon Angulo, a combined $329 million in total damages — $129 million in compensatory damages and $200 million punitive damages.

Jurors, after about six hours of deliberations, awarded $59 million in compensatory damages to Benavides Leon's family and $70 million to Angulo, who suffered a traumatic brain injury and broken bones among other injuries.

The jury found Tesla 33% responsible for the crash, with the driver responsible for the rest. Tesla will have to pay the full punitive damages amount, and a third of the compensatory damages, which equals $42.5 million. That's a total payout of $242.5 million.

The verdict marks a major defeat for Tesla and its Autopilot driver-assistance feature that the attorneys for the plaintiffs said was engaged at the time of the deadly collision and had design flaws.

Tesla, in a statement, said it plans to appeal "given the substantial errors of law and irregularities at trial."

"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," said Tesla.

The company added, "To be clear, no car in 2019, and none today, would have prevented this crash. This was never about Autopilot; it was a fiction concocted by plaintiffs' lawyers blaming the car when the driver — from day one — admitted and accepted responsibility."

The plaintiff's attorney, Brett Schreiber, said the 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."

The verdict follows a three-week civil trial that included testimony from Angulo, Benavides Leon's family members, and the driver of the Tesla that plowed into a parked SUV and struck the couple as they were stargazing outside the vehicle alongside a Key Largo road.

The case stems from a wrongful-death lawsuit that the plaintiffs brought against Tesla. The lawsuit argued that the carmaker's vehicles were "defective and unsafe for their intended use."

Tesla, the lawsuit said, programmed Autopilot "to allow it to be used on roadways that Tesla knew were not suitable for its use and knew this would result in collisions causing injuries and deaths of innocent people who did not choose to be a part of Tesla's experiments, such as Plaintiffs."

"Despite knowing of Autopilot's deficiencies, Tesla advertised Autopilot in a way that greatly exaggerated its capabilities and hid its deficiencies," said the lawsuit, which pointed to multiple comments from Musk touting the safety and reliability of the software.

Tesla driver George McGee had Autopilot on when his 2019 Model S blew past a stop sign and a flashing red light at a three-way intersection and plowed into Angulo's mother's Chevrolet Tahoe at more than 60-miles-per-hour, the lawsuit said.

McGee — who previously settled a separate lawsuit with the plaintiffs for an undisclosed amount — said he had dropped his cellphone during a call and bent down to pick it up moments before his Tesla, without warning, T-boned the Tahoe.

He testified during the trial that he thought of Autopilot, which allows the vehicle to steer itself, switch lanes, brake, and accelerate on its own, as a "copilot."

"My concept was it would assist me should I have a failure" or "should I make a mistake," McGee said in testimony, adding, "I do feel like it failed me."

"I believe it didn't warn me of the car and the individuals and nor did it apply brakes," McGee testified.

Attorneys for Tesla have argued that McGee was solely responsible for the April 25, 2019, crash.

In the trial's opening statements, Tesla attorney Joel Smith said the case was about a driver, not a "defective vehicle," and had "nothing to do with Autopilot."

"It's about an aggressive driver, not a complacent driver, a distracted driver who was fumbling around for his cellphone," Smith said. "It's about a driver pressing an accelerator pedal and driving straight through an intersection."

Tesla's attorneys said that just before the crash, McGee hit the accelerator, overriding the vehicle's set cruising speed of 45 miles per hour and its ability to brake on its own.

Autopilot mode, Tesla says on its website, is "intended for use with a fully attentive driver, who has their hands on the wheel and is prepared to take over at any moment."

Schreiber, the plaintiff's attorney, said in his opening statements that was McGee was a "bad actor."

"But the evidence in this case will show that every actor needs a stage," Schreiber said. "And Tesla set the stage for the preventable tragedy that brings us all here."

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Natalie Musumeci
Natalie is a senior reporter on Business Insider's Business News team covering the AI and data center boom.She was previously on BI's Legal Affairs team, where she handled major cases coming out of state and federal court, as well as bankruptcy. Her coverage often focused on stories at the intersection of law, business, politics, and technology. Natalie has covered Donald Trump’s criminal and civil cases, the wave of lawsuits against the second Trump administration, the indictment and criminal trial of Sean “Diddy” Combs, the shooting death of UnitedHealthcare CEO Brian Thompson, and the legal battles facing Elon Musk and his companies. Natalie came to Business Insider in June 2021 as a breaking news reporter, focusing on the most interesting angles on the day's trending news. Natalie largely drove BI’s coverage around the fatal “Rust” shooting involving Alec Baldwin and the disappearance and murder of Gabby Petito.Prior to joining BI, Natalie worked for the New York Post, the New York Daily News, and The Brooklyn Paper. She has an extensive background covering crime and courts. During her more than 12-year journalism career, she did a stint covering the police beat out of the New York Police Department's headquarters. Natalie, a Brooklyn native, graduated from Brooklyn College in 2012 with a degree in journalism.