Good morning. Tesla reached a settlement with the family of a driver who died in a 2018 crash involving the company’s driver-assistance technology Autopilot, days before attorneys were poised to deliver opening statements. Terms of the settlement weren’t disclosed in court records.

The wrongful-death suit dealt with a crash involving 38-year-old Apple engineer Walter Huang. The driver died on Highway 101 in California after his Model X sport-utility vehicle crashed into a highway barrier while he was using Tesla’s Autopilot.

• The argument: Huang’s family, which brought the lawsuit, had pursued a distinctive line of argument, questioning whether the automaker oversold Autopilot’s capabilities and didn’t take sufficient actions to prevent customers from misusing the technology. Government investigators and the Huangs agree that Huang was distracted in the moments leading up to the crash; Tesla said he was playing a videogame.
   
• A history of scrutiny: Several agencies have been investigating Autopilot, including the Justice Department and Securities and Exchange Commission, which have launched separate probes examining whether Tesla misled customers and investors about how Autopilot performs.
   
• Guardrails: The National Highway Traffic Safety Administration has also been examining Autopilot and the automaker’s more expansive tech called “Full Self-Driving Capability” for years, raising concerns that not enough guardrails are built-in to ensure drivers use the systems appropriately. The regulator has launched more than 40 investigations into accidents suspected to be tied to Tesla’s Autopilot that resulted in 23 deaths.

FAA to probe loss of engine cover on Southwest Boeing jet.

The Federal Aviation Administration is investigating an incident in which an engine cover fell off a Southwest Airlines-flown Boeing 737-800 jet during takeoff from Denver on Sunday.

The FAA said Flight 3695, which was headed for Houston, returned safely to Denver International Airport around 8:15 a.m. after its crew reported that an engine cover fell off during takeoff and struck a wing flap.

‘Social order could collapse’ in AI era, two top Japan companies say.

Japan’s largest telecommunications company and the country’s biggest newspaper called for speedy legislation to restrain generative artificial intelligence, saying democracy and social order could collapse if AI is left unchecked.

Nippon Telegraph and Telephone, or NTT, and Yomiuri Shimbun Group Holdings made the proposal in an AI manifesto to be released Monday. Combined with a law passed in March by the European Parliament restricting some uses of AI, the manifesto points to rising concern among American allies about the AI programs U.S.-based companies have been at the forefront of developing.

Elon Musk vows to defy Brazil order to block some X accounts amid hate-speech clampdown.

Elon Musk vowed to fight an order by Brazil’s Supreme Court to remove several X accounts, calling for the removal of one of the country’s most powerful judges in an increasingly tense showdown over free speech in Latin America’s biggest nation.

X, formerly known as Twitter, initially complied with the order, which comes as part of a broader clampdown by Brazil on social-media accounts that are deemed to be propagating hate speech and false information. But Musk, who has owned the platform since 2022, said in a series of posts over the weekend that all these accounts would be reinstated.

Wildfires make utilities a tricky investment. Just ask Warren Buffett.

Warren Buffett made a fortune by investing in electric utilities in the western U.S. Now, the world’s best-known investor says wildfires might undermine that strategy.

PacifiCorp, a utility company owned by Buffett’s Berkshire Hathaway, has incurred hundreds of millions of dollars in liability costs tied to a series of Oregon wildfires in 2020 and might owe hundreds of millions more. In his most recent annual letter, Buffett told shareholders that he might rethink utility investments in states at high risk of wildfire.

• The Biden administration is proposing a sweeping initiative to slash student debt for nearly 30 million Americans, a plan likely to face legal challenges from Republicans who helped kill an earlier White House attempt at large-scale loan cancellation.
   
• Central Intelligence Agency Director William Burns while visiting Cairo presented a new proposal to help advance a deal between Israel and Hamas to end the six-month war in Gaza and release remaining hostages.
   
• JPMorgan Chase Chief Executive Jamie Dimon warned that U.S. interest rates could soar to 8% or more in coming years, reflecting the risk that record-high deficit spending and geopolitical stress will complicate the fight against inflation.
   
• Taiwan Semiconductor Manufacturing is getting up to $6.6 billion from the U.S. government for a factory complex under construction in Phoenix and will expand the operation’s scope and sophistication, part of a drive to regrow the domestic semiconductor industry.

Follow us on X at @WSJRisk. Follow Risk & Compliance editor David Smagalla @DSmagalla_DJ and reporters Mengqi Sun @_MengqiSun, Dylan Tokar @dgtokar and Richard Vanderford @VanderfordRich.

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