In a stunning legal blow to Elon Musk and Tesla, a Florida jury has found the automaker partially liable for a fatal 2019 autopilot crash, ordering the company to pay approximately $242 million in damages. This verdict, delivered on August 1, 2025, marks a significant moment in the ongoing scrutiny of Tesla’s controversial self-driving technology.

The jury determined that Tesla bears 33% of the responsibility for the crash that claimed the life of 22-year-old Nao Benvdz, who died at the scene after being struck by a Tesla Model S driven by George McGee. McGee was reportedly using the vehicle’s enhanced autopilot system when he dropped his phone and attempted to retrieve it, leading to the catastrophic collision at over 60 miles per hour through an intersection.

Tesla argued that McGee’s actions were to blame, claiming he had his foot on the accelerator and was not paying attention. However, plaintiffs contended that the company’s autopilot system was fundamentally flawed and dangerously marketed, turning public roads into testing grounds for unproven technology. The jury’s decision included $129 million in compensatory damages and $200 million in punitive damages, with Tesla expected to pay the full punitive amount.

Following the verdict, Tesla announced plans to appeal, asserting that the ruling undermines automotive safety and the development of life-saving technologies. Shares of Tesla dipped 1.8% after the news, reflecting the market’s reaction to the potential financial implications of the case.

This ruling raises serious questions about the safety of Tesla’s self-driving systems and the responsibility of automakers in ensuring public safety. As Musk pushes for broader deployment of autonomous vehicles, this verdict serves as a stark reminder of the risks involved. The implications of this case could resonate far beyond the courtroom, potentially reshaping the future of autonomous driving technology and its regulation.