Tesla Settles Lawsuit over Autopilot Software

Introduction              

The wrongful death lawsuit filed against Tesla, by the family of a deceased Apple engineer, has been settled outside of court. The settlement was concluded as the trial over this high-profile accident involving Tesla’s Autopilot software was about to begin, six years after the crash.

The Accident

In 2018, Walter Huang died in a car crash on his way to Apple’s offices in California. Several factors were involved in the accident.

Huang’s family have alleged that Tesla’s software, Autopilot, was responsible for steering his 2017 Model X car out of the designated travel lane, and straight into a concrete highway median at a speed of about 110 km per hour.

However, investigators found that Huang was on his iPhone playing video games at the time of the crash. This raised questions over drivers’ awareness of how to correctly use the system at the time. Indeed, it is unclear whether drivers were expected to remain fully alert whilst the car was in the self-driving mode.

The family alleged that the system was flawed by design and was the direct cause of Huang’s death.

Lead up to the Trial

The National Transportation Safety Board found that both sides may have contributed to the crash. It concluded that the probable cause of death was the Autopilot system steering the vehicle into the highway gore. At the same time, Huang had been inattentive, and his hands were not detected on the wheel before the crash, with signs of him playing video games moments before.

In the six years leading up to the trial, these findings attracted great media attention, with serious questions being raised over Tesla’s software and how it was advertised to drivers. Despite its CEO, Elon Musk, claiming that fully autonomous driving was on the horizon, the company has failed to fully launch this feature thus far.  The company also had to recall around 2m vehicles with Autopilot in December, to install additional driver alerts.

This is one of many lawsuits that the company has been involved in over the years, relating to similar issues. This media attention may have also contributed to Tesla’s stock price falling by 30% this year.

The Settlement

The company and Huang’s family settled out of court, after a five-year long legal battle that was heading for court imminently.

While the terms of the settlement have not been disclosed, this may set a precedent for future cases of this sort. Bryant Walker Smith, a law professor at the University of South Carolina, with expertise in autonomous vehicle law, has stated that ‘what this does do, though, is it says to other attorneys, we might settle. We might not always fight it.’

What’s next?

As previously noted, this is one of dozens of car accidents involving self-driving software. While this case is now settled, one could expect future litigation in this area.

Moreover, with continued bad press, Tesla’s stock price may continue to suffer, and perhaps convince legislators that more needs to be done with regard to regulating the deployment of autonomous vehicles.

Conclusion

The settlement of the wrongful death lawsuit between Tesla and the family of Walter Huang marks a significant moment after a five-year legal battle. While the terms remain undisclosed, this event may signal a shift in how similar cases are approached in the future. As the discussion on autonomous vehicle safety continues, it's evident that this case is just one among many, indicating ongoing challenges and the need for further regulation in the realm of self-driving technology.

By Scott Hickman