GM Faces New Class Action Lawsuit Over Allegedly Defective 10-Speed Automatic Transmission

General Motors is facing another class-action lawsuit, this time targeting its problematic 10-speed automatic transmission. The lawsuit alleges the gearbox can experience erratic shifting or sudden power loss, posing a safety risk to drivers.

The class action was filed in the U.S. District Court for the Northern District of California by three plaintiffs. They argue that the issues are not isolated complaints but part of a broader pattern, particularly the sudden loss of power, which can leave drivers stranded.

The 10-speed transmission is used across a wide range of GM models, including the Chevrolet Suburban, GMC Sierra, Cadillac CT4, CT5, CT6, and Chevrolet Camaro. Despite multiple technical service bulletins and recalls over the years, the lawsuit claims GM has never addressed the root cause of the problems.

One of the earlier recalls involved a wheel lockup risk linked to the same gearbox, affecting the Cadillac CT4, CT5, CT6, and Chevrolet Camaro.

The plaintiffs allege potential issues with the transmission, including valve body wear, internal contamination, and inconsistent hydraulic pressure. They argue these problems cannot be resolved with a software update and that GM has failed to acknowledge the widespread nature of the defects.

The lawsuit seeks to represent all California residents who purchased or leased one of the affected GM models. Plaintiffs are demanding damages, including repair costs, as well as injunctive relief to prevent GM from continuing to sell vehicles equipped with the 10-speed automatic transmission.

This lawsuit adds to GM’s growing list of legal challenges. Over the past year, the automaker has faced multiple lawsuits related to allegedly defective L87 V8 engines. In 2023, GM agreed to pay $150 million to settle a lawsuit involving its 5.3-liter LC9 V8 engine.