Tuesday, October 7, 2025

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Tesla Faces Fatal Crash Lawsuit as Robotaxi Service Launches

The family of a South Korean lawyer killed in a 2020 Tesla (Nasdaq: TSLA) crash filed a lawsuit against the electric carmaker Thursday, alleging sudden unintended acceleration and safety system failures led to the fatal accident.

The case centers on a December 9, 2020 incident when a Tesla Model X crashed into an underground parking garage wall in Seoul’s Yongsan district. Lawyer Yoon, a passenger in the car, was killed in the crash and ensuing fire.

According to a report by the South China Morning Post, the family’s lawyer said telematics data showed the accelerator was pressed at 100% for six seconds, yet the vehicle’s speed increased by only 39 kph — a discrepancy the family argues indicates the driver may have been braking instead.

The family alleges Tesla’s emergency braking system and airbags malfunctioned, and that doors remained locked, hampering rescue attempts.

The lawsuit comes as Tesla launched its robotaxi service in Austin, Texas, on June 22. The service, which uses about 10 Model Y vehicles with human safety monitors in limited areas, operates between 6 a.m. and midnight for $4.20 per ride, excluding airports. 

Also read: Regulatory Pressure Could Give Tesla Cover for Robotaxi Delay

But this will all be short-lived as Texas regulations will require permits for all self-driving cars starting September 1. Governor Greg Abbott signed SB 2807 into law on June 20 — just two days before the robotaxi launch.

Texas recorded 370 autonomous vehicle crashes between 2019 and 2024, second only to California’s 1,677 crashes. The new law gives the Texas Department of Motor Vehicles the authority to revoke permits for safety violations.



Information for this story was found via the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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