Tesla Settles Lawsuit Over Fatal Autopilot Crash
Tesla has reached a confidential settlement in a lawsuit related to the death of Jeremy Banner, who was killed in 2019 when his Model 3, with Autopilot activated, collided with a tractor-trailer. The case, which was filed in court on July 7, came just days before the company was set to face trial in another high-profile crash involving a Model S in Miami.
Banner’s case was among the earliest legal challenges questioning the safety and reliability of Tesla’s Autopilot system. Federal investigators attributed the accident to driver inattention and also pointed out that Tesla failed to ensure the driver remained engaged while using the system. According to a report from Bloomberg, citing a National Transportation Safety Board investigation, the Autopilot system did not provide any visual or audible warnings before the collision.
Trey Lytal, Banner’s attorney, did not disclose specific details of the settlement but emphasized that such legal actions have been instrumental in holding Tesla accountable. “There’s no question that the justice system, and especially jury trials, holds Tesla accountable for its actions,” he stated.
This settlement occurs as Tesla faces a separate trial in Miami over a 2019 crash involving a Model S. In that incident, the vehicle veered off a Florida road and struck a pedestrian. Plaintiffs in that case argue that Autopilot failed to respond appropriately despite clear road signs and stop lines.
A former adviser to the National Highway Traffic Safety Administration (NHTSA) testified this week that Tesla may have downplayed the limitations of Autopilot and omitted standard safety features that are commonly used by other automakers. Tesla, however, maintains that the driver was at fault for overriding the system by pressing the accelerator.
The Miami trial is expected to last approximately three weeks. Meanwhile, investor sentiment on platforms like Stocktwits has turned bearish, with low message volume reflecting uncertainty about the company’s future. Tesla’s stock has declined by 15.8% so far in 2025.
As the legal battles continue, the outcomes of these cases could significantly impact how autonomous driving technologies are regulated and perceived in the automotive industry. The ongoing scrutiny highlights the growing concerns around the safety of semi-autonomous systems and the responsibilities of manufacturers in ensuring their proper use.
