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Tesla settles lawsuit over fatal Autopilot crash of Apple engineer

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Tesla has settled a lawsuit with the family of Walter Huang, an Apple engineer who died in a crash near San Francisco while using the company’s Autopilot semi-autonomous driving software in March 2018. The lawsuit alleged that Tesla, along with CEO Elon Musk, had exaggerated the capabilities of its self-driving technology, misleading consumers into believing that constant vigilance while driving was unnecessary.

The settlement was reached Monday, April 8, before the trial was set to begin this week. The terms have not been disclosed.

The incident, which occurred during Huang’s commute to work, has raised significant safety concerns regarding Tesla’s autonomous driving features. Tesla had contended that Huang was distracted by playing a video game on his phone at the time of the crash.

This settlement comes amid broader scrutiny over Tesla’s technology and a Justice Department inquiry into the company’s marketing of its self-driving capabilities.

The U.S. National Highway Traffic Safety Administration has investigated over 956 crashes reportedly involving Tesla’s Autopilot, along with more than 40 specific investigations into Tesla automated-driving system accidents that led to 23 fatalities.

Tesla won two prior California cases about Autopilot by arguing that the drivers did not follow the company’s guidance to stay alert while using the system.

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[KARAH RUCKER]

TESLA HAS REACHED A SETTLEMENT WITH THE FAMILY OF AN APPLE ENGINEER WHO DIED USING THE COMPANY’S AUTOPILOT DRIVING SOFTWARE IN A 2018 CRASH NEAR SAN FRANCISCO.

THE SETTLEMENT WAS REACHED JUST BEFORE THE TRIAL WAS SET TO START THIS WEEK — THE TERMS REMAIN UNDISCLOSED.

THE LAWSUIT ACCUSED TESLA AND CEO ELON MUSK OF MISLEADING CONSUMERS ABOUT THE TECHNOLOGY’S CAPABILITIES, CONTRIBUTING TO THE BELIEF THAT DRIVERS DID NOT NEED TO WATCH THE ROAD WHEN USING AUTOPILOT.

THE CRASH OCCURRED AS 38-YEAR-OLD WALTER HUANG (WONG) USED AUTOPILOT ON HIS COMMUTE TO WORK. Reuters says evidence SUGGESTS THAT HUANG WAS PLAYING A VIDEO GAME ON HIS PHONE WHEN HE CRASHED ON A BUSY HIGHWAY

THIS CASE IS AMONG SEVERAL IN THE U.S. SCRUTINIZING TESLA’S TECHNOLOGY, INCLUDING A JUSTICE DEPARTMENT INQUIRY INTO HOW TESLA MARKETS ITS SELF-DRIVING CAPABILITIES.