Court documents show Tesla passed on a chance to settle a fatal crash lawsuit for a fraction of what a jury ultimately awarded
Missed Opportunity: Tesla Declined Early Settlement
Tesla could have settled a fatal Autopilot-related crash lawsuit for $60 million—but let the offer expire, according to newly revealed legal filings. Instead, a Florida jury awarded $242.5 million in damages earlier this month.
- The plaintiffs, representing the estate of Neima Benavides Leon, submitted the $60M proposal in May 2024.
- Tesla failed to respond within the required 30-day timeframe, effectively rejecting the offer by default under Florida law.
- The revelation comes from a court filing requesting that Tesla also cover plaintiffs’ legal fees, citing the statutory proposal for settlement.
“Tesla did not accept Plaintiffs’ Proposals for Settlement within thirty (30) days… Therefore, Tesla rejected [them] by operation of the rule and statute,” the filing states.
Details of the Fatal 2019 Crash
The case centers on a 2019 crash in Florida, when a Tesla Model S with Autopilot engaged drove through an intersection and struck a Chevrolet Tahoe. The impact occurred while the victims — Leon and her boyfriend Dillon Angulo — were standing outside their vehicle on the shoulder.
- Leon was killed instantly; Angulo was severely injured.
- The driver of the Tesla was not a defendant in this trial but is being sued separately.
- The lawsuit, filed in 2021, alleged Tesla’s Autopilot failed to brake in time, contributing to the deadly outcome.
Jury Decision: Shared Fault, Massive Damages
In a federal court in Miami, the jury assigned two-thirds of the blame to the driver, and one-third to Tesla. Despite the split, Tesla was still on the hook for $242.5 million in damages.
- The decision represents one of the largest verdicts yet against Tesla involving its driver-assistance technology.
- Tesla has consistently defended Autopilot, arguing that drivers must remain fully attentive and are ultimately responsible.
“We plan to appeal the verdict given the substantial errors of law and irregularities at trial,” Tesla said in a statement earlier this month.
Legal and Financial Fallout
This verdict and the missed settlement opportunity could have major implications for Tesla’s legal exposure as it continues to face multiple lawsuits over Autopilot and Full Self-Driving (FSD) features.
- Rejecting a $60 million settlement only to face a $242.5 million judgment may raise internal questions about risk management and legal strategy.
- Tesla’s disbanded communications team complicates the company’s public response — inquiries are now routed through legal filings or the company’s generic press address.
- Plaintiffs’ attorneys are now seeking attorney’s fees, citing Tesla’s rejection of the settlement.
A Broader Spotlight on Autopilot Safety
Tesla’s Autopilot has been repeatedly scrutinized by regulators, safety advocates, and courts. The Leon case adds to a growing body of evidence that Autopilot’s capabilities and limitations remain poorly understood or misrepresented by some drivers — and now, highly costly in court.
