Transmission Problems and California Lemon Law

Transmission problems are one of the most common reasons vehicles end up back at the dealer again and again. If your car, truck or SUV has a transmission defect the dealer can’t fix, California’s lemon law may require the manufacturer to buy it back or replace it. Faler Law Group represents California drivers with defective vehicles.

Common Transmission Problems

Transmission defects show up in many ways. Some of the most common complaints are:

• Slipping, or the engine revving without the vehicle speeding up.
• Hard, jerky or delayed shifts.
• Hesitation or a lag when you accelerate from a stop.
• Shuddering or vibration, especially at low speeds.
• Getting stuck in one gear or going into “limp” mode.
• Warning lights or transmission error messages on the dash.
• Grinding, whining or clunking noises.
• Leaking transmission fluid or overheating.

These problems can affect traditional automatic transmissions, continuously variable transmissions (CVTs) and dual-clutch transmissions alike. Some appear only under certain conditions, like in stop-and-go traffic or when the vehicle is cold, which can make them hard for a dealer to reproduce.

When a Transmission Defect Can Make a Vehicle a Lemon

Under California’s Song-Beverly Consumer Warranty Act, if a new vehicle has a defect covered by the manufacturer’s warranty that substantially impairs its use, value or safety, and the manufacturer or its dealers can’t fix it after a reasonable number of attempts, the manufacturer must replace the vehicle or refund the purchase price. Transmission problems often meet this standard because they affect how the vehicle drives and how safe it is.

The law also gives a guideline, called the Tanner presumption (Civil Code section 1793.22). A vehicle is presumed to be a lemon if, within 18 months of delivery or 18,000 miles, whichever comes first:

• A defect likely to cause death or serious bodily injury was subject to repair two or more times,
• The same problem was subject to repair four or more times, or
• The vehicle was out of service for repairs for more than 30 days in total.

Notice and dispute-program requirements can also apply, and a vehicle can still qualify outside these guidelines. Learn how California lemon law works.

Transmission Problems and Safety

Some transmission defects create real safety risks, such as a sudden loss of power on the freeway, unexpected downshifts, or a vehicle that moves or rolls when it should be in park. When a defect is likely to cause death or serious injury, two repair attempts within the first 18 months or 18,000 miles can be enough to trigger the Tanner presumption. Tell the service advisor exactly what happened, especially if it put you or others in danger, and make sure it’s written on the repair order.

“Could Not Duplicate” and Software Updates

Two things come up often in transmission cases:

• “Could not duplicate.” Intermittent transmission problems are often hard to reproduce. Even if the dealer finds nothing, the visit shows you reported the problem and gave the manufacturer a chance to fix it. You don’t have to figure out what’s causing the problem. Diagnosing and fixing it is the manufacturer’s job.
• Software updates. Many transmission complaints are addressed by reprogramming the transmission control module. A software update for your complaint is generally still a repair attempt, so make sure it’s documented.

Warranty Coverage for Transmissions

The transmission is usually covered by both the manufacturer’s basic warranty and its powertrain warranty, which often lasts longer. Check your warranty booklet for the exact terms. A defect that first shows up while the warranty is in effect can support a lemon law claim even if it’s after 18 months or 18,000 miles.

Manufacturers sometimes extend coverage for a known problem through a warranty extension or “adjustment program.” Under California’s secret warranty law (Civil Code sections 1795.90 to 1795.93), the manufacturer must notify affected owners by mail. If you paid for a repair the program covers before you learned about it, you may be able to get reimbursed by submitting a written claim to the manufacturer within two years of paying.

What to Do About Transmission Problems

1. Take the vehicle in every time the problem happens. Each visit is a repair opportunity, and the record matters.
2. Describe the problem clearly, including when it happens (speed, temperature, traffic) and how it felt. Check that the repair order says what you told them.
3. Keep every repair order, including ones that say “could not duplicate” or “operating as designed.” Make sure each shows the dates and mileage in and out.
4. Record the problem on video only if it’s safe, such as by having a passenger record it. Never record while you’re driving.
5. Keep receipts for towing, rental cars and any repairs you paid for.
6. Don’t wait. Deadlines apply, and some manufacturers now require written notice before a lawsuit can be filed.

Dealing with a different problem? Learn more about California lemon law.

Transmission Problems FAQ

Is a car with transmission problems a lemon in California?

It can be. If a transmission defect covered by the manufacturer’s warranty isn’t fixed after a reasonable number of repair attempts, the manufacturer may have to buy back or replace the vehicle. What counts as reasonable depends on the facts, including how serious the problem is and how long the vehicle has been in the shop.

How many times does my transmission have to be repaired before it’s a lemon?

There’s no single number. Under the Tanner presumption, a vehicle is presumed to be a lemon if, within 18 months or 18,000 miles, a defect likely to cause death or serious injury was repaired two or more times, the same problem was repaired four or more times, or the vehicle was out of service for more than 30 days. Vehicles that don’t meet those guidelines can still qualify.

The dealer says it can’t find anything wrong with my transmission. Does that visit count?

It can still matter. A visit where the dealer couldn’t duplicate the problem shows that you reported it and gave the manufacturer a chance to fix it. Make sure the repair order records your complaint in your own words, along with the date and mileage.

Does a software update count as a repair attempt?

Generally, yes. Many transmission complaints are addressed with software updates, and a software update for your complaint is usually an attempt to fix it. Make sure the repair order shows what you reported and what was done.

What if I already paid out of pocket for a transmission repair?

Keep the receipt. If the repair should have been covered by the warranty, it may be part of your lemon law claim. And if the manufacturer later adopts a program covering that problem, California’s secret warranty law may entitle you to reimbursement if you submit a written claim within two years of paying for the repair.