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The Wall Street Publication > Blog > U.S > Looming over two instances threatening Musk’s automobile firm is a single query: Can he be trusted?
U.S

Looming over two instances threatening Musk’s automobile firm is a single query: Can he be trusted?

Editorial Board Published July 21, 2025
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Looming over two instances threatening Musk’s automobile firm is a single query: Can he be trusted?
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By BERNARD CONDON and DAVID FISCHER

MIAMI (AP) — Elon Musk fought court docket instances on reverse coasts Monday, elevating a query in regards to the billionaire that would both velocity his plan to place self-driving Teslas on U.S. roads or throw up a significant roadblock: Can this wildly profitable man who tends to magnify actually be trusted?

In Miami, a Tesla driver who has admitted he was improper to succeed in for a dropped mobile phone moments earlier than a lethal accident, spoke of the hazard of placing an excessive amount of religion in Musk’s expertise — on this case his Autopilot program.

“I trusted the technology too much,” mentioned George McGee, who ran off the street and killed a girl out stargazing along with her boyfriend. “I believed that if the car saw something in front of it, it would provide a warning and apply the brakes.”

In uncommon coincidence, regulators arguing an Oakland, California, case tried to pin exaggerated speak about the identical Tesla expertise on the middle of a request to droop the carmaker from with the ability to promote autos within the state.

Musk’s tendency to speak massive — whether or not its his vehicles, his rockets or his authorities costing-cutting efforts — have landed him in hassle with traders, regulators and courts earlier than, however not often at such a fragile second.

After his social media spat with President Donald Trump, Musk can now not rely on a lightweight regulatory contact from Washington. In the meantime, gross sales of his electrical vehicles have plunged and so successful to his security fame may threaten his subsequent massive mission: rolling out driverless robotaxis — a whole lot of hundreds of them — in a number of U.S. cities by the tip of subsequent 12 months.

The Miami case holds different risks, too. Legal professionals for the household of the lifeless girl, Naibel Benavides Leon, just lately satisfied the decide overseeing the jury trial to permit them to argue for punitive damages. A automobile crash lawyer not concerned within the case, however carefully following it, mentioned that would price Tesla tens of thousands and thousands of {dollars}, or probably extra.

“I’ve seen punitive damages go to the hundreds of millions, so that is the floor,” mentioned Miguel Custodio of Los Angeles-based Custodio & Dubey. “It is also a signal to other plaintiffs that they can also ask for punitive damages, and then the payments could start compounding.”

Tesla didn’t reply for a request for remark.

That Tesla has allowed the Miami case to proceed to trial is stunning. It has settled a minimum of 4 lethal accidents involving Autopilot, together with funds simply final week to a Florida household of a Tesla driver. That mentioned, Tesla was victorious in two different jury instances, each in California, that additionally sought to put blame on its expertise for crashes.

Legal professionals for the plaintiffs within the Miami case argue that Tesla’s driver-assistance characteristic, known as Autopilot, ought to have warned the motive force and braked when his Mannequin S sedan blew by flashing lights, a cease signal and a T-intersection at 62 miles-an-hour in an April 2019 crash. Tesla mentioned that drivers are warned to not depend on Autopilot, or its extra superior Full Self-Driving system. It say the fault fully lies with the “distracted driver” similar to so many different “accidents since cellphones were invented.”

Driver McGee settled a separate go well with introduced by the household of Benavides and her severely injured boyfriend, Dillon Angulo.

McGee was clearly shaken when proven a dashcam video Monday of his automobile leaping a Key West, Florida, street and hitting a parked Chevrolet Tahoe which then slammed into Benavides and despatched her 75 toes by the air to her loss of life. Requested if he had seen these photos earlier than, McGee pinched his lips, shook his head, then squeaked out a response, “No.”

Tesla’s legal professional sought to indicate that McGee was absolutely in charge, asking if he had ever contacted Tesla for extra directions about how Autopilot or every other security options labored. McGee mentioned he had not, although he was heavy consumer of the options. He mentioned he had pushed the identical street house from work 30 or 40 occasions. Below questioning he additionally acknowledged he alone was liable for watching the street and hitting the brakes.

However legal professionals for the Benavides household had one other probability to parry that line of argument and requested McGee if he would have taken his eyes off the street and reached for his telephone had he been driving any automobile aside from a Tesla on Autopilot.

McGee responded, “I don’t believe so.”

The case is anticipated to proceed for 2 extra weeks.

Within the California case, the state’s Division of Motor Autos is arguing earlier than an administrative decide that Tesla has misled drivers by exaggerating the capabilities of its Autopilot and Full Self-Driving options. A court docket submitting claims even these characteristic names are deceptive as a result of they provide simply partial self-driving

Musk has been warned by federal regulators to cease making public feedback suggesting Full Self-Driving permits his vehicles to drive themselves as a result of it may result in overreliance on the system, leading to potential crashes and deaths. He additionally has run into hassle with regulators for Autopilot. In 2023, the corporate needed to recall 2.3 million autos for issues with the expertise and is now beneath investigation for saying it mounted the problem although it’s unclear it has, in keeping with regulatory paperwork.

The California case is anticipated to final one other 4 days.

Condon reported from New York.

Initially Revealed: July 21, 2025 at 4:08 PM PDT

TAGGED:CarcasescompanyloomingMusksquestionSingleThreateningTrusted
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