Wellbeing doesn't have a price tag. There's no amount of money someone could pay you to make up for your daughter dying early or your son becoming disabled.
However, $329M sounds like an imaginary amount of money in a liability claim. If this guy crashed into a parked car without Tesla being involved, the family would be unfathomably lucky to even get 1% of that amount.
I agree. If Tesla was not allowed to give their product a misleading name, it probably would get fewer sales. That's the rationale behind false advertising laws.
The supreme court has ruled on punitive damage awards going back to the 1990s and limited the excesses. You can't for example get $4 million in punitive damages on $4000 in actual damages. The general rule from the looks of the article is 5x actual damages.
However, $329M sounds like an imaginary amount of money in a liability claim. If this guy crashed into a parked car without Tesla being involved, the family would be unfathomably lucky to even get 1% of that amount.