Judge Sends GM Transmission Lawsuit Claims to Arbitration

GM Hydra-Matic 8L90 and 8L45 transmissions allegedly make driving dangerous.

Judge Sends GM Transmission Lawsuit Claims to Arbitration

Posted in News

— A General Motors transmission lawsuit is on hold after the judge sent the allegations to arbitration.

The GM Hydra-Matic 8L90 and Hydra-Matic 8L45 transmission class action lawsuit alleges GM transmissions slip, buck, kick, jerk, harshly engage, and suffer abnormal internal wear and acceleration problems.

The class action lawsuit alleges the transmissions have downshifting problems and the defects cause complete transmission failures in these models.

  • 2015-2019 Chevrolet Silverado
  • 2017-2019 Chevrolet Colorado
  • 2015-2019 Chevrolet Corvette
  • 2016-2019 Chevrolet Camaro
  • 2015-2019 Cadillac Escalade and Escalade ESV
  • 2016-2019 Cadillac ATS, ATS-V
  • 2016-2019 Cadillac CTS, CTS-V
  • 2016-2019 Cadillac CT6
  • 2015-2019 GMC Sierra
  • 2015-2019 GMC Yukon, and Yukon XL, and Yukon Denali XL
  • 2017-2019 GMC Canyon

The transmission lawsuit alleges the Hydra-Matic transmissions make it dangerous to drive the vehicles.

Plaintiff Caroline Harper says she purchased a 2016 Cadillac CT6, and plaintiff Cole Ulrich purchased a 2017 Chevrolet Silverado 1500. Both vehicles are equipped with 8L transmissions that are allegedly defective.

The plaintiffs admit they signed sales paperwork at their dealerships that contained arbitration clauses. One plaintiff says he does not oppose GM's demand for arbitration, but Harper says the transmission issues should be heard in court.

The judge found plaintiff Harper signed the contract in several places, and the contract contains this clause:

"Any claim or dispute, whether in contract, tort, statute or otherwise (including the interpretation and scope of this Arbitration Provision, and the arbitrability of the claim or dispute), between you and us or our employees, agents, successors or assigns, which arises out of or relates to your credit application, purchase or condition of this vehicle, this contract or any resulting transaction or relationship (including any such relationship with third parties who do not sign this contract), shall, at your or our election, be resolved by neutral, binding arbitration and not by a court action."

"If federal law provides that a claim or dispute is not subject to binding arbitration, this Arbitration Provision shall not apply to such claim or dispute. Any claim or dispute is to be arbitrated by a single arbitrator on an individual basis and not as a class action. . . . Any arbitration under this Arbitration Provision shall be governed by the Federal Arbitration Act."

The judge ruled the case "will be closed administratively" because the plaintiffs signed paperwork that contained an arbitration clause.

According to the judge, "the arbitration clause is enforceable, and the plaintiffs’ objections to its application do not alter that conclusion."

The GM transmission lawsuit was filed in the U.S. District Court for the Eastern District of Michigan, Southern Division: Harper, et al., v. General Motors, LLC.

The plaintiffs are represented by Cohen Milstein Sellers & Toll  PLLC, Gordon & Partners, P.A., Berger Montague PC, Capstone Law APC, The Miller Law Firm, P.C., Kessler Topaz Meltzer & Check, LLP, LLP, Keller Rohrback L.L.P., and Pitt, McGehee, Palmer & Rivers, P.C.