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Tesla Settles Case where passenger was burned alive · Elon Musk Podcast

• 0:00
  Welcome back to the Elon Musk Podcast.
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  This is a show where we discuss the critical crossroads, the
• 0:05
  shape SpaceX, Tesla X. The Boring Company and
• 0:08
  Neuralink. And I'm your host, Will Walden.
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  Tesla has settled another case involving a fatal crash linked
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  to alleged vehicle design defects, marking the second such
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  settlement this year. The case, filed in 2019,
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  pertains to a 2016 incident where a test the vehicle
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  reportedly accelerated uncontrollably in Indianapolis,
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  colliding with a tree and then caught fire.
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  This settlement follows a similar resolution in April
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  regarding a fatal crash involving Tesla's Autopilot
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  technology. Now, the lawsuit alleged that
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  the 2015 Model S involved in the Indianapolis crash had a
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  tendency to catch fire and a defective door latch system that
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  trapped the passenger inside. Now, the accident resulted in
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  the deaths of both driver Casey Speckman, who was intoxicated,
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  and the passenger Kevin McCarthy.
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  Now, McCarthy's family claimed the defects prevented him from
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  escaping from the burning vehicle.
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  Now, Tesla has consistently denied any fault, attributing
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  the crash to misuse or improper maintenance of the vehicle.
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  And in its response, Tesla maintained that its cars meet
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  all relevant safety standards. This case's settlement indicates
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  the shift from CEO Elon Musk's previous stance against settling
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  what he termed unjust cases. Now, the recent settlements
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  contrast with Musk's 2022 declaration on Twitter, where he
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  vowed never to settle an unjust case even if it might result in
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  a loss. And in April, Tesla settled
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  another high profile lawsuit involving an Apple engineer who
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  died when his Model X crashed while allegedly using Autopilot.
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  Now, these settlements suggested that Tesla may be more willing
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  to resolve such cases out of court.
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  Now, Tesla's legal battles extend beyond these two cases.
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  The company faces numerous lawsuits across the country
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  related to alleged defects causing serious or fatal
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  accidents. At least eight pending lawsuits
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  are scheduled for trial next year, many involving claims that
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  crashes occurred while the driver relied on Tesla's
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  Autopilot technology. Federal regulators are also
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  scrutinizing Tesla. The National Hwy.
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  Traffic Safety Administration, or the NHTSA, is investigating
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  whether Tesla's Autopilot system misleads drivers into believing
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  it has more capabilities than it does.
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  This regulatory attention adds pressure to test those legal
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  challenges right now. And in the Indianapolis crash,
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  the plaintiffs argued this Speckman lost control of the
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  Model S when it suddenly accelerated while she tried to
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  avoid an oncoming vehicle. The car crashed into a tree and
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  then a parking structure, bursting into flames.
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  The witnesses reportedly saw McCarthy attempting to escape
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  but being unable due to the vehicle's design defects.
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  Now, Tesla has faced multiple complaints regarding fires
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  allegedly linked to its batteries.
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  Experts know that electric vehicle batteries can burn more
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  intensely and for longer durations than internal
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  combustion engines. This has raised concerns about
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  the safety of Tesla's battery design and in the lawsuit,
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  McCarthy's family detailed how he could not escape due to the
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  post crash fire and the defective door latch system.
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  Tesla, however, encountered that their vehicles are
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  state-of-the-art and comply with all safety regulations denying
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  any defect in the door latch system now.
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  Separately, Speckman's family filed a lawsuit against Tesla in
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  2019. After Tesla's attempt to dismiss
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  the case was denied in February 2023, a settlement was reached
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  two months later. The specifics of the settlement
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  remain confidential now. The settlement with McCarthy's
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  family was announced just days before the trial was set to
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  begin. Court records describe it as
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  conditional, but no further details have been provided.
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  Neither Tesla nor the McCarthy family's lawyers have commented
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  on the settlement, and in previous cases involving Tesla's
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  Autopilot, the company has had mixed results, and two
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  California trials juries concluded that driver error, not
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  the technology, was to blame for the accidents.
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  These outcome support must claim the Tesla vehicles are among the
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  safest on the road, and the case involving the Apple engineer,
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  who died in 2018 when his Model X crashed into a highway
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  barrier, was particularly contentious.
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  The engineer's family argued that Tesla's Autopilot system
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  was faulty. The confidential settlement
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  recent April avoided a potentially lengthy and costly
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  trial for Tesla. Now, despite the legal
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  challenges, Tesla continues to defend its vehicle safety.
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  The company points to its rigorous safety standards and
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  compliance with government regulations.
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  However, the increasing number of lawsuits and settlements
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  suggest a growing concern over Tesla's vehicle design and
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  safety features. The settlements and ongoing
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  lawsuits could have implications for Tesla's public image and
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  financial performance. And investors and customers
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  alike are watching how the company navigates these legal
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  challenges right now. And Tesla's ability to maintain
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  its reputation as a leading innovator in the EV market may
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  hinge on the outcomes of these cases.
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  Now, while Tesla faces more lawsuits in the future designing
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  and doing the Autopilot tech, the company's legal strategy
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  will be under scrutiny as well. The decisions to settle recent
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  cases indicate a possible shift in approach, potentially aiming
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  to minimize public trials and adverse publicity.
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  Regulatory scrutiny, particularly the NHTSA, could
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  lead to further changes in how Tesla designs and markets its
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  vehicles. Any findings from ongoing
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  investigations might result in recalls or modifications to
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  existing safety features impacting Tesla's operations
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  now. The outcomes of these cases will
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  likely influence future litigation involving Tesla.
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  If more plaintiffs succeed in their claims, Tesla could face
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  increased legal costs and pressure to enhance its vehicle
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  safety standards. Conversely, favorable rulings
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  for Tesla could reinforce its stance on the safety and the
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  reliability of its vehicles. Hey, thank.
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  You so much for listening today. I really do appreciate your
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  support. If you could take a second and
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  hit the subscribe or the follow button on whatever podcast
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  platform that you're listening on right now, I greatly
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  appreciate it. It helps out the show
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  tremendously and you'll never miss an episode.
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  And each. Episode is about 10 minutes or
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  less to get you caught up quickly.
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  And please, if you want to support the show even more, go
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  to patreon.com/stage Zero and please take care of yourselves
• 6:42
  and each other and I'll see you tomorrow.