The family of a 76-year-old woman killed when a Tesla Model 3 crashed into their Katy, Texas home has filed a wrongful-death lawsuit against Tesla and the driver, alleging defective driver-assistance design. The driver claims Autopilot was engaged at the time; Tesla counters that vehicle data shows the driver manually pressed the accelerator to 100% reaching 73mph. The case draws on the legal precedent set by a 2025 Florida verdict that held Tesla partly liable for $243m despite driver fault. NHTSA has opened a special crash investigation and will independently pull the event data recorder. The outcome hinges on whether driver misuse and corporate design liability can coexist, a question the Florida case answered affirmatively.
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Tesla has quietly settled a lawsuit stemming from a 2023 fatal crash involving its Full Self-Driving (Supervised) system in Arizona, where a 71-year-old pedestrian was struck and killed by a Model Y. The settlement terms were not disclosed. However, the NHTSA federal investigation — escalated to an engineering analysis in March 2026 — remains open and could result in a software recall. The agency found Tesla's system fails to detect and warn drivers under degraded visibility conditions like sun glare and airborne dust. Compounding Tesla's troubles, a separate fatal crash in Texas involving Autopilot has triggered additional NHTSA and NTSB investigations, and another inquiry is examining FSD running red lights and drifting into wrong lanes. Tesla's camera-only approach faces mounting regulatory and legal scrutiny as the company positions FSD as central to its AI and robotics identity.