Tesla has settled a wrongful death lawsuit brought by Walter Huang’s family after he died in a crash involving his Model X SUV with Autopilot features engaged. The settlement was reached as jury selection and trial were set to begin in a California Superior Court, allowing Tesla to avoid publicizing evidence and testimonies. The National Transportation Safety Board found in 2020 that Tesla’s technology, potential driver distraction, and road construction issues played a role in the crash, with Huang potentially being distracted by a game on his phone before colliding with a barrier. The family’s lawsuit against Tesla focused on alleged safety and design defects in the company’s driver assistance systems.
Huang’s attorneys pointed to Tesla’s marketing messages and social media posts that suggested Autopilot made driving safer without needing constant attention or hands on the steering wheel. Internal Tesla emails revealed executives and engineers becoming complacent while driving with Autopilot engaged, engaging in activities like reading emails and checking their phones. The settlement was reached just prior to the start of a civil jury trial in a San Jose courthouse, with Tesla arguing that Huang was an inattentive driver playing mobile games during the crash. The company sought to seal the settlement amount from public view, expressing concern about potential implications for future cases.
Tesla’s lead attorneys stated that the settlement was reached to end years of litigation and avoid the perception of potential liability for losses. The company aimed to prevent the settlement amount from impacting future cases and settlement opportunities. Attorneys for the Huang family did not immediately respond to requests for comment, and Tesla lead attorneys were unavailable for comment. The fatal crash and related lawsuit raised questions about Tesla’s safety culture, attitudes towards safety, and the quality of its driver assistance systems for investors and customers. Musk previously declared that Tesla would not seek victory in a just case against them but would also not surrender or settle in an unjust case.
If Tesla had been found liable for Huang’s death, it could have set a precedent in product liability suits, making it easier for other plaintiffs to pursue similar cases against the company. In May 2022, Musk stated that Tesla would not seek victory in a just case against them, even if they would likely win, and would not surrender or settle in an unjust case, even if they would probably lose. The settlement of the wrongful death lawsuit raises questions about Tesla’s liability and responsibility in cases involving accidents with Autopilot features engaged.
