NEW YORK, May 25 (Reuters) - Tesla on Thursday reached an agreement to settle a class action lawsuit with buyers of its Model S and Model X cars who alleged that the company’s assisted-driving Autopilot system was “essentially unusable and demonstrably dangerous.”
No further details of the agreement, announced in a filing in San Jose federal court late Thursday, were available. The deal still has to be approved by U.S. District Judge Beth Labson Freeman.
Tesla and Steve Berman, a lawyer for the car owners, did not immediately respond to a request for comment.
The case was closely watched in the automotive and legal communities, as it was the only known court challenge Tesla faced with regard to its assisted-driving technology.
The company has come under increased scrutiny over its Autopilot system in recent months after two Tesla drivers died in crashes in which Autopilot was engaged. The most recent crash, in March, is being investigated by safety regulators. (Reporting by Tina Bellon; Editing by Bernadette Baum)