This paper presents the lane change system for collision avoidance. The proposed algorithm for the collision avoidance consists of path generation and path following. Using a calculated TTC (Time to Collision), partial braking is operated and collision avoidance path is generated considering relative distance, velocity and acceleration. Based on the collision avoidance path, desired yaw angle and yaw rate are calculated for the automated path following. The lateral controller is designed by a Lyapunov function approach using 3 D.O.F vehicle model and vehicle parameters. The required steering angle is determined from wheel velocity, longitudinal and lateral velocity in order to follow the desired yaw angle and yaw rate. This system is developed MATLAB/Simulink and its performance is evaluated using the commercial software CarSim.