Last time we checked, overtaking another car in the right lane of a motorway is frowned upon. It's not just the R8's fault, since the Merc was going a little too fast on the inside of the Audi and failed to take heed of his fellow Bullrunner's indicators. Still, the A8 also appears to be undertaking the very same Accord it eventually ends up hitting.
The impact between the two exotics is quite mild, but the R8 loses control and unavoidably slams into the Honda sedan and the barrier, almost taking a Lamborghini Murcielago with it. As for the Mercedes, it looks largely OK and was able to continue the rally. We think the guy in the white shirt checking its damage is none other than Ice-T himself.
The video description says police reports at the time put the accident down to a blown tire, which is rather infuriating. However, reports from 2011 state the R8 driver was arrested for reckless driving.