Feb 26 (Reuters) - Elon Musk's Tesla convinced a Florida
appeals court on Wednesday to limit the damages it could be
forced to pay in a wrongful death lawsuit accusing the electric
vehicle company of misstating the capabilities of its cars'
Autopilot system.
The 4th District Court of Appeal in Palm Beach overturned a
judge's decision from 2023 that said a jury could award punitive
damages, not just compensatory damages, in the lawsuit filed by
the estate of Jeremy Banner.
Punitive damages are designed to punish intentional
misconduct and gross negligence, and they can be much larger
than those for compensatory damages, which account for medical
expenses, lost income and other factors.
Tesla and attorneys for the plaintiffs did not immediately
respond to requests for comment.
The appeals court said the evidence in Banner's case
"indicates Tesla's Autopilot features were 'state-of-the-art'
and complied with all industry and regulatory standards."
Banner, 50, was driving a Tesla Model 3 when he was killed
in 2019 in a crash near Miami. His Tesla drove at full speed and
struck the underside of a tractor-trailer that turned onto a
road in front of his car, court records show. The crash sheared
the Tesla's roof.
Banner's estate blamed his death on Tesla's Autopilot driver
assistant system. Tesla has denied any wrongdoing, saying Banner
was at fault. Banner, according to Tesla, failed to heed
warnings about the limitations of his car's Autopilot system.
Lawyers for Banner's estate previously told Reuters that
"the jury should be able to punish a company such as Tesla that
clearly has made the decision to put profits before safety."
They argued that Tesla knew its vehicles' Autopilot was a
defective system, unsuitable on roads with cross-traffic.
The appeals court said "Tesla cannot be liable for failing
to provide technology that it did not advertise and that did not
exist."
The trial in Banner's lawsuit was on hold pending Tesla's
appeal.
The case is Tesla v Kim Banner, 4th District Court of
Appeal, State of Florida, No. 4D2023-3034.
Read more:
Tesla, autopilot crash victim's estate clash over damages in
Florida appeal
Judge finds evidence that Tesla, Musk knew about Autopilot
defect
Tesla wins first US Autopilot trial involving fatal crash