Months before a jury awarded a $242.5 million verdict against Tesla over its culpability in a 2019 fatal crash, the automaker had a chance to settle for $60 million. Instead, Tesla rejected that offer, according to new legal filings that were first reported by Reuters.
The settlement proposal, which was made in May, was disclosed in a filing that requested Tesla cover legal fees for the plaintiffs in the case. A representative for the plaintiff’s attorney told TechCrunch that Tesla rejected the settlement by default because they were not accepted within the 30-day timeframe. That language is also in the recent court filing, as shown below.
“Both Proposals for Settlement were served in compliance with and pursuant to Florida Rule ofCivil Procedure 1.442 and Fla. Stat. § 768.79. Tesla did not accept Plaintiffs’ Proposals for Settlement within thirty (30) days of service. Therefore, Tesla rejected the Proposals for Settlement by operation of the rule and statute.”
Earlier this month, a jury in federal court in Miami found Tesla partly to blame for a fatal 2019 crash that involved the use of the company’s Autopilot driver assistance system. One person was killed when a Tesla Model S with Autopilot engaged plowed through an intersection and hit a Chevrolet Tahoe. The crash victims, Neima Benavides Leon and her boyfriend Dillon Angulo, were standing outside the vehicle on the shoulder at the time. Leon was killed while Angulo was severely injured.
The driver, who was not a defendant in this case, was sued separately for his responsibility. The lawsuit filed in 2021 against Tesla centered on Autopilot, which was engaged but did not brake in time to avoid going through the intersection. The jury assigned the driver two-thirds of the blame and attributed one-third to Tesla. As part of the verdict, the jury awarded the $242.5 million verdict as part of its decision.
Tesla, in a statement provided to TechCrunch earlier this month, said it plans to appeal the verdict “given the substantial errors of law and irregularities at trial.”
TechCrunch has reached out to the plaintiffs’ attorneys as well as Tesla. An outside PR firm that previously provided statements on Tesla’s behalf declined to comment and directed TechCrunch to the company’s press address. Tesla disbanded its communications team several years ago.
The lawsuit, case 1:21-cv-21940-BB, was filed in 2021 in the U.S. District Court for the Southern District of Florida.
