Toyota is facing a new class action lawsuit alleging the automaker knowingly sold and leased vehicles equipped with defective UA80 eight speed automatic transmissions. The lawsuit claims the transmissions are prone to premature failure, unsafe driving behavior and costly repairs that were not disclosed to consumers at the time of purchase.
The complaint argues that Toyota continued to market the affected vehicles as reliable while failing to address known mechanical and software related defects.
Allegations Raised by the Lead Plaintiff
The lawsuit was filed by plaintiff LeBoutheller, who claims he purchased a new 2020 Toyota Camry XSE and later began experiencing abnormal transmission noise. According to the complaint, Toyota agreed to provide a replacement transmission but refused to cover installation costs.
LeBoutheller alleges this decision left him responsible for thousands of dollars in expenses despite the issue being tied to a defective transmission.
The lawsuit claims similar experiences have been reported by other vehicle owners nationwide.
Claims of Known Defects and Lack of Disclosure
According to the complaint, Toyota was aware for years that the UA80 transmission assembly and its related software contained defects. Despite this knowledge, the automaker allegedly failed to disclose these issues to consumers.
The lawsuit claims Toyota continued selling and leasing vehicles with the defective transmission while promoting safety, reliability and long term performance.
Once problems emerged, the complaint alleges Toyota refused to provide adequate repairs or reimbursement for affected owners.
Alleged Mechanical Defect in the Transmission
The lawsuit describes two interrelated defects affecting the UA80 transmission. The first is a mechanical defect that allegedly causes excess heat to build up inside the transmission.
This heat buildup is said to burn transmission fluid and accelerate internal wear of components. Over time, this process can lead to early transmission failure and reduced vehicle lifespan.
Software Defect Allegedly Accelerates Wear
The second alleged defect involves transmission software programming. According to the complaint, the software forces premature upshifts and early torque converter clutch engagement.
This behavior allegedly places excessive stress on transmission components, causing them to deteriorate faster than expected. The lawsuit claims Toyota prioritized fuel efficiency through software programming at the expense of durability.
Allegations of Longstanding Knowledge
The class action lawsuit asserts that Toyota had known about UA80 transmission issues for several years. The complaint cites internal data, consumer complaints, dealership service records and government safety submissions.
According to the lawsuit, Toyota was aware of the defects through pre-sale durability testing, National Highway Traffic Safety Administration complaints and multiple technical service bulletins addressing issues such as transmission noise, harsh shifting and failure.
Despite these warnings, the lawsuit claims Toyota did not issue a recall or provide a permanent fix.
Claims of Ignored Warnings and Denied Repairs
The complaint alleges Toyota routinely told vehicle owners that their cars were operating as intended, even when problems were reported early.
In some cases, the lawsuit claims Toyota denied warranty coverage once vehicles exceeded mileage limits, despite evidence that defects appeared while the vehicles were still under warranty.
As a result, consumers allegedly faced expensive repairs and diminished resale value.
Financial Impact on Consumers
The lawsuit claims consumers overpaid for vehicles that were worth less due to the defective transmissions. Owners allegedly faced unexpected repair costs and loss of vehicle value.
The complaint argues that had consumers known about the transmission defects, they may have chosen not to purchase or lease the affected vehicles or would have paid less.
Scope of the Proposed Class Action
LeBoutheller seeks to represent a nationwide class of current and former owners and lessees of affected Toyota and Lexus vehicles. The lawsuit also proposes an alternative subclass for Nevada consumers.
The plaintiff is requesting a jury trial and seeks damages, restitution and injunctive relief. The complaint also asks the court to order Toyota to repair, recall or replace defective transmissions.
Additional Related Claims
The lawsuit follows other recent legal actions involving Toyota. A separate class action filed earlier this year alleges Toyota failed to disclose defects to consumers who purchased or leased model year 2024 Toyota Corolla vehicles.
Together, these lawsuits raise broader concerns about transparency and disclosure related to vehicle defects.
Legal Representation and Case Details
The plaintiff is represented by attorneys from Steckler Wayne and Love PLLC and Barrack, Rodos and Bacine.
The case is titled LeBoutheller v. Toyota Motor Sales U.S.A. Inc., et al., Case No. 4:25-cv-01389, and is pending in the U.S. District Court for the Eastern District of Texas.
Toyota has not publicly responded to the specific allegations at the time of filing.
What Happens Next
The court will review the claims and determine whether the case will proceed as a class action. If the lawsuit moves forward, discovery and further proceedings may provide additional insight into Toyota’s knowledge of the alleged defects.
The outcome of the case could impact vehicle owners nationwide.
About Ted Law Firm
At Ted Law Firm,We serve families across Aiken, Anderson, Charleston, Columbia, Greenville, Myrtle Beach, North Augusta and Orangeburg. closely follows class action lawsuits involving vehicle safety, product defects and consumer rights.contact us today for a free consultation.