A Miami jury has ruled that Tesla bears partial responsibility for a 2019 fatal crash involving its Autopilot driver-assist technology—handing down a staggering $242.5 million judgment against the electric carmaker.

The case centered around a Tesla Model S that struck a parked SUV, killing a pedestrian and injuring another. The vehicle was in Autopilot mode at the time. Jurors concluded that both the human driver and Tesla’s system failed to apply the brakes or issue any warnings before impact.

According to trial testimony reported by Hemmings, the driver admitted he had become distracted after dropping his phone. But he insisted Tesla’s Autopilot gave no alert or warning—a claim the jury seemed to take seriously.

Of the total award, $42.5 million was designated for compensatory damages, while a punishing $200 million was issued to penalize Tesla for its role in the tragedy.

At the heart of the case was Tesla’s marketing of its Autopilot and so-called “Full Self-Driving” systems—names critics argue dangerously overstate the vehicles’ true capabilities.

“Tesla advertised Autopilot in a way that greatly exaggerated its capabilities and hid its deficiencies, encouraging Tesla drivers to over-rely on its Autopilot system,” the plaintiff’s attorney wrote in court filings.

Despite flashy branding, even Tesla admits that all versions of its Autopilot technology still require active driver supervision. Drivers are expected to remain attentive and ready to assume control of the vehicle at all times.

Tesla has vowed to challenge the ruling.

“To be clear, no car in 2019, and none today, would have prevented this crash,” the company told the BBC. “This was never about Autopilot; it was a fiction concocted by plaintiffs’ lawyers blaming the car when the driver—from day one—admitted and accepted responsibility.”

Tesla also pointed out that the driver’s foot was on the accelerator at the moment of the crash—something that overrides Autopilot’s braking functions and warning protocols.

Still, the verdict adds to a mounting legal storm surrounding Tesla’s semi-autonomous claims. The company faces lawsuits in California and France that could result in temporary sales bans and steep fines, including up to $58,000 per day in penalties abroad. Reports also suggest Tesla’s Robotaxi program has been operating in violation of traffic laws.

$29 Billion for Musk, While Legal Fires Burn

As legal scrutiny intensifies, Tesla’s board delivered a jaw-dropping $29 billion compensation package to CEO Elon Musk this week. The plan grants Musk 96 million restricted shares in what the company called a “good faith” performance reward.

The move comes even as Musk’s previous $46.8 billion pay plan from 2018 was voided by a Delaware judge late last year—a decision Tesla is actively appealing.

In a letter to shareholders, board members Robyn Denholm and Kathleen Wilson-Thompson defended the latest award, citing the need to retain Musk amid what they described as a “war for AI talent.”

“Even among this group of highly talented individuals, no one matches Elon’s remarkable combination of leadership experience, technical expertise, and, arguably most importantly, decades-long proven track record of building the most revolutionary and profitable businesses across different industries,” the board wrote.

To secure the payout, Musk must remain in a senior leadership role at Tesla throughout the two-year vesting period, according to the company’s SEC filing.