- Toyota faces lawsuits over its UA80 eight-speed transmission.
- One plaintiff says software forces early upshifts, adding strain.
- Another claims overheating leads to early wear and fluid loss.
Toyota is facing fresh legal trouble over one of its most widely used gearboxes. Two new class action lawsuits allege that the automaker’s UA80 eight-speed automatic transmission is prone to early failure, raising concerns about long-term durability and resale value.
The latest lawsuit centers on claims that the transmission can compromise a vehicle’s lifespan and market appeal, particularly as issues are said to appear well before the end of a typical ownership cycle.
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The suit was filed by James LaBoutheller, a 2020 Toyota Camry XSE owner, who says he heard abnormal noises coming from the transmission. After taking the car to a Toyota dealership, he was informed that the transmission needed to be replaced.
Toyota agreed to supply a new transmission, but not to pay for installation. That left LaBoutheller to cover the labor costs himself, totaling several thousand dollars out of pocket.
According to the complaint, the transmission suffers from two main defects. The first is mechanical: excess heat reportedly builds up inside the gearbox, accelerating wear and degrading the transmission fluid.
The second issue involves the software. The suit claims that faulty programming causes the transmission to upshift too early and engage the torque converter clutch prematurely, which in turn places unnecessary strain on key internal components.
Alleged Long-Term Knowledge
According to the class action, Toyota has known about issues with the eight-speed transmission since durability testing before it even started to install the gearbox in customer cars.
It further claims that the company disregarded years of warning signs, including internal data, customer complaints, dealer service records, and government safety submissions documenting early transmission failures.
Toyota not only failed to act on the reported issues, the suit says, but also implemented software updates that increased wear on the transmission. The reason? To improve fuel efficiency, according to the filing.
The plaintiff adds that Toyota continued to assure customers that their vehicles were working as intended. Meanwhile, warranty coverage was routinely denied once vehicles crossed mileage thresholds, even when the problems had first been reported at lower mileages.
LaBoutheller is seeking to represent a nationwide class of current and former owners and lessees of several affected Toyota and Lexus models. He is seeking a jury trial and damages, restitution, and injunctive relief.
A Second Lawsuit Surfaces
This isn’t the only lawsuit involving the UA80 transmission. Earlier this month, a separate class action was filed in California by plaintiff Neil Pallaya, who purchased a new 2020 Toyota Highlander in December 2020. The vehicle came equipped with a 3.5-liter V6 engine paired to a UA80E transmission.
Pallaya’s complaint details a persistent high-pitched whining noise that began around 67,000 miles, which a Toyota dealer diagnosed as complete transmission failure. Because the vehicle was out of warranty, he was quoted more than $7,400 for a replacement, one he argues is just as flawed as the original.
He claims the defect stems from fundamental design flaws, and that Toyota has failed to provide a meaningful remedy, leaving owners stuck with expensive repairs and ongoing questions about long-term reliability.
The California suit expands the list of potentially affected vehicles, covering the following models:
- 2017-present Toyota Highlander
- 2024-present Toyota Grand Highlander
- 2018-2024 Toyota Camry
- 2017-2020 Toyota Sienna
- 2019-2022 Toyota Avalon
- 2019-present Toyota RAV4
- 2023-present Lexus RX 350
- 2021-present Lexus ES 250
- 2019-present Lexus ES 350
- 2022-present Lexus NX 250 and NX 350
- 2024-present Lexus TX 350
