GM’s Cruise Pays More Than $8 Million in Robotaxi Settlement

General Motors Co.’s autonomous-car unit reached an $8 million to $12 million settlement with a pedestrian who was dragged by one of its vehicles in San Francisco, according to a person familiar with the situation.

The settlement was struck earlier this year and the woman is out of the hospital, said the person, who declined to be identified discussing a private matter.

In the October incident, the pedestrian crossing the road was struck by another vehicle before landing in front of one of GM’s Cruise vehicles. The robotaxi braked hard but ran over the person. It then pulled over for safety, driving 20 feet at a speed of up to seven miles per hour with the pedestrian still under the car.

Cruise grounded its entire US fleet after California suspended its license in the wake of the incident. Former Chief Executive Officer Kyle Vogt resigned, nine executives were fired and about a quarter of the workforce was let go.

Last month, Cruise said it was preparing to resume testing of its robotaxis with safety drivers in Phoenix, an important step in its attempt to restart services.

Fortune reported on the settlement earlier Tuesday.

Top photo: A Cruise autonomous taxi in San Francisco, California, US, on Thursday Aug. 10, 2023. California regulators are poised to decide whether two rival robotaxi services can provide around-the-clock rides throughout San Francisco, despite escalating fears about recurring incidents that have caused the driverless vehicles to block traffic or imperil public safety, reported the AP.