Tesla settles Autopilot class-action lawsuit

Shawn Knight

Posts: 12,912   +125
Staff member

Tesla has agreed to settle a class-action lawsuit brought about by six Model S and Model X owners who alleged the automaker’s semi-autonomous assisted-driving Autopilot system was “essentially unusable and demonstrably dangerous.”

The settlement still has to be approved by U.S. District Judge Beth Labson Freeman, Reuters reports.

Class-action members that paid an extra $5,000 for Tesla’s Enhanced Autopilot feature between October 2016 and September 2017 will receive between $20 and $280 in compensation from the automaker.

In a statement issued to The Verge, a Tesla spokesperson said the amount customers receive will differ depending on when they purchased and took delivery of their cars. The spokesperson further added that although the settlement is specific to customers in the US, Tesla has decided to compensate all customers globally in the same manner (again, if approved by the court).

There’s no legal obligation to do this, the rep said, but they feel it’s “the right thing to do.”

The spokesperson said it became clear [to Tesla] that it was taking longer than they would have liked or initially expected to roll out new Autopilot updates to customers. As such, as part of the proposed settlement agreement, they’re compensating customers who had to wait longer than expected for the features.

Tesla has reportedly agreed to add more than $5 million to the settlement fund, money that’ll also pay for legal fees and other related expenses.

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merikafyeah

Posts: 164   +116
Class actions only serve to promote bad press (temporarily). The only parties to gain anything are the lawyers, and perhaps those who hold stock in the defendant's competitors.
 

captaincranky

Posts: 16,344   +5,131
The first thing which springs into my mind is, "who did Musk borrow the money from to pay the settlement"...