Tesla (TSLA.US) shares under pressure amid multiple lawsuits and regulatory disputes, down about 14% year-to-date

According to Jinse Finance APP, Tesla (TSLA.US) is embroiled in multiple lawsuits and regulatory disputes, involving compensation for fatal accidents caused by autonomous driving, disputes over artificial intelligence technology, and a jurisdictional battle with the U.S. Securities and Exchange Commission (SEC). The multiple legal uncertainties have put pressure on investor sentiment, with Tesla's stock price closing lower on Friday, ending a three-week winning streak.

Tesla has filed a motion with the Southern District Court of Florida to overturn or retry a verdict in a product liability and wrongful death case. If the verdict stands, Tesla will be required to pay approximately $242.5 million in compensation. Previously, a jury in the Miami federal court ruled that Tesla was partially responsible for a fatal accident that occurred in Key Largo, Florida, in 2019. In the accident, a driver operating a Model S with the enhanced Autopilot system enabled looked down to pick up a phone, causing the vehicle to crash at high speed into a parked car, resulting in the death of a 22-year-old woman and serious injury to her boyfriend.

Tesla's representing law firm, Gibson Dunn, stated that compensatory damages should be significantly reduced from $129 million to $69 million, and punitive damages should also be reduced to within three times the compensatory damages according to Florida's legal cap. In its appeal, Tesla argued that the accident was entirely caused by the driver's own actions and that there was no design defect in the vehicle. The plaintiff's attorney responded that the verdict reflected Tesla's "recklessness and lack of safety" in developing and promoting the Autopilot system.

Meanwhile, Musk's AI startup xAI has filed a lawsuit in federal court in California against a former engineer, accusing him of stealing trade secrets related to the Grok chatbot and joining competitor OpenAI. The complaint alleges that the engineer left with confidential information after accepting employment at OpenAI and selling $7 million worth of xAI stock, and admitted to "covering his tracks" on August 14. xAI is seeking damages and a court order to prevent him from working at OpenAI. This case highlights the talent and technology battle between Musk and OpenAI in the AI field.

It is worth noting that Musk himself has already sued OpenAI and CEO Altman, accusing them of deviating from the original intention of "benefiting humanity"; OpenAI countersued Musk for harassment in April this year. Earlier this week, xAI also sued OpenAI and Apple (AAPL.US) in Texas, accusing the two of monopolizing the AI chatbot market on Apple devices.

In addition, Musk's team is seeking to transfer an SEC lawsuit from Washington, D.C., to the Western District of Texas federal court, which is located in Tesla's headquarters in Austin. The case involves Musk's delayed disclosure of shareholdings before his 2022 acquisition of Twitter. Jared Birchall, head of Musk's family office, stated in a supporting declaration that since 2020, Musk has spent about 60% of his time working and living in Austin, emphasizing that the case should be tried in Texas.

Analysts believe that this case has limited relevance to Tesla's stock price. In 2018, Musk's "funding secured" tweet incident led to both Musk and Tesla being fined $20 million each, but it did not change the company's long-term trajectory.

On Friday, Tesla's stock price briefly reached $348.75 during trading but ultimately closed down 3.5% at $333.87, failing to break through the key technical level of $340. Year-to-date, Tesla's stock price is still down about 14%, but it has risen 68% over the past 12 months.