Tesla (TSLA) has resolved a major lawsuit it faced regarding the crash of one of its electric vehicles before the case went to court in a jury trial.
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The lawsuit was brought against Tesla by the family of a California teenager who was killed in a 2019 crash involving one of the company’s Model 3 electric vehicles that was being operated in autopilot mode. The case was headed to a jury trial before Tesla abruptly settled the matter.
Terms of the settlement have not been made public, but it is the latest move by Tesla under CEO Elon Musk to avoid a jury trial over a fatal crash. The electric-vehicle maker has settled several other cases involving its vehicles, particularly related to the self-driving autopilot mode.
Multiple Cases
The latest trial related to a fatal crash involving Tesla’s autopilot was scheduled to start in about a month in Alameda County Superior Court. The settlement brings the case to an end and saves Tesla from the public scrutiny that could come from a trial and jury verdict.
Tesla has not commented on this particular California case. However, the company has faced at least eight lawsuits involving fatalities or serious crashes that resulted from the use of its self-driving autopilot mode. In August of this year, a jury found Tesla liable for a fatal 2019 crash caused by an autopilot failure and ordered the company to pay $42.6 million in damages. Tesla has said it will appeal that judgment.
Is TSLA Stock a Buy?
Tesla stock has a consensus Hold rating among 34 Wall Street analysts. That rating is based on 14 Buy, 13 Hold, and seven Sell recommendations issued in the last three months. The average TSLA price target of $313.62 implies 23.51% downside from current levels.
