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As of early 2023, only a limited number of Society of Automotive Engineers (SAE) Level 3 (L3) automated driving systems are available on the market, and they are primarily offered by luxury vehicle brands. SAE L3 automated driving systems are classified as conditional automation (CA), meaning that the vehicle can undertake some well-defined driving tasks under specific conditions, but the driver must be ready to assume control of the vehicle when prompted by the system. It is anticipated that an increasing number of L3 CA systems will be introduced on public roads in the next few years. However, L3 systems pose unique Human Factors (HF) challenges that require thoughtful consideration to ensure that production systems are feasible without compromising driver or road safety. This panel discussion brings together HF researchers and practitioners with expertise in human behavior and usability design for automotive applications to discuss and delineate key issues specifically related to L3 systems, as well as potential approaches to tackle these issues.