— Toyota Camry Hybrid and Toyota Corolla Cross Hybrid inverter problems have led to an Illinois class action lawsuit.
A Toyota hybrid inverter recall was issued for the vehicles, but the owner who filed the lawsuit argues the recall was too little too late.
According to the class action, the lawsuit includes:
"All purchasers of the Cars, sold as new at a Toyota dealer in Illinois, at any time in the year 2025."
The plaintiff claims all Illinois owners overpaid for their Toyota hybrid vehicles even though the recall was announced.
Plaintiff Michael Jaffe purchased a new 2026 Toyota Camry Hybrid in December 2025, but days later his vehicle was recalled due to the hybrid inverter.
The Toyota Hybrid Inverter Recall
In December 2025 Toyota announced an inverter recall for 2025-2026 Toyota Camry Hybrid and 2026 Corolla Cross Hybrid vehicles equipped with bolts that can become loose inside the inverters in the hybrid powertrains. The recall included more than 50,000 vehicles.
A loose bolt could cause a hybrid vehicle to lose power while driving, or even worse the loose bolt could cause a fire. Toyota was still working on how it would repair the hybrid vehicles at the time the inverter recall was announced.
The hybrid inverter problem was caused by a supplier machine that wasn't set correctly, preventing proper installation of the bolts, specifically with torque. It was also possible for a loose bolt to detach.
Toyota said hybrid owners would be contacted in February 2026 about the inverter recall.
In the case of the plaintiff, he complains his hybrid wasn't returned to him until August, about eight months after the inverter bolt recall was announced.
The plaintiff says his Toyota dealer gave him loaner vehicles to drive, but he was unable for many months to drive his new purchase while waiting for repairs.
"Plaintiff was required to bring in and exchange the 'loaner' car for a new 'loaner' agreement and car on several occasions, because, upon each time such agreement expired, Toyota still had no 'fix' for the dangerous defect." — Toyota hybrid inverter lawsuit
The Toyota class action alleges Toyota knew about the hybrid inverter problems when the plaintiff purchased his vehicle, but the automaker never warned him he was driving a defective vehicle that would be recalled within days of purchase.
According to the hybrid inverter lawsuit, vehicle owners are stuck driving hybrid vehicles that have lost their values due to the inverter bolt problems.
Toyota's Argument
The automaker wasted no time by telling the judge the hybrid inverter class action lawsuit shouldn't even exist.
Toyota argues the plaintiff's hybrid vehicle was repaired for free, as was all the recalled vehicles. And although it took time to perform the repairs, the plaintiff was provided free loaner vehicles while awaiting for his hybrid to be repaired.
According to Toyota, the hybrid inverter lawsuit is moot because all the affected vehicles were recalled, repaired for free, and customers were offered free loaner vehicles.
The Toyota Hybrid inverter class action lawsuit was filed in the U.S. District Court for the Northern District of Illinois: Michael Jaffe v. Toyota Motor Sales, U.S.A., Inc., et al.
The plaintiff is represented by FairBridge Law LLC.