GM Faces Federal Lawsuit Over CVT Problems in Malibu, Trailblazer, Equinox and Terrain

GM faces a federal lawsuit alleging CVT defects affect several Chevrolet and GMC models.

September 27, 2026 at 2:30 PM / News

General Motors is facing a proposed federal class-action lawsuit alleging that continuously variable transmissions in several Chevrolet and GMC models can develop problems ranging from hesitation and slipping to loss of forward drive. The case, filed Sept. 15 in Delaware federal court, relies in part on GM service documents that the plaintiff says identify transmission-related defects.

General Motors is facing a proposed nationwide class-action lawsuit over continuously variable transmissions used in certain Chevrolet Malibu, Trailblazer and Equinox models and GMC Terrain vehicles.

The complaint, filed Sept. 15, 2026, in the U.S. District Court for the District of Delaware, was brought by John Williams, a California owner of a 2025 Chevrolet Equinox RS. The case, Williams v. General Motors LLC, No. 1:26-cv-01162, alleges that certain CVTs can develop defects that cause hesitation, slipping, delayed engagement and, in some cases, loss of forward motion.

The proposed class would include people who bought or leased CVT-equipped 2019–2025 Chevrolet Malibus, 2021–2025 Chevrolet Trailblazers, 2024-and-later Chevrolet Equinoxes and 2024-and-later GMC Terrains. The complaint also proposes California subclasses for claims under state law.

The allegations have not been tested in court. GM has not answered the complaint, and no judge has ruled that the vehicles contain a common defect or that the proposed class should be certified.

What the lawsuit alleges

The complaint focuses on two CVT families and cites several GM service documents as evidence that the automaker was aware of transmission problems.

One of those documents, GM Service Bulletin 24-NA-009, applies to 2019–2025 Malibu and 2021–2025 front-wheel-drive Trailblazer models equipped with the VT40 CVT, identified by option code MRG.

According to the complaint, the bulletin identifies a clutch regulator valve sticking in the transmission's valve body as a cause of lost forward gear or slipping. The bulletin also associates the condition with diagnostic trouble code P2714 and warns that the problem can result in damage to the forward clutch piston, the primary pulley bearing bore and the transmission case.

The complaint says the condition can be intermittent, meaning a dealer may not necessarily reproduce the problem during an inspection.

The filing also cites GM's Service Bulletin 16-151-24R, which provides diagnostic guidance for chain slip, judder and hesitation involving the TR690 CVT family. The complaint says the bulletin covers the Equinox, Terrain, Trailblazer and Malibu and was revised through at least July 2025.

A separate preliminary information bulletin, PIP6033, dated Dec. 11, 2024, is cited for potential transmission noise, slipping or complete loss of motion. According to the complaint, the bulletin identifies damaged drive chains, pulleys or bearings as possible causes and covers certain Buick Encore GX, Equinox, Malibu and Trailblazer models. The complaint also says the condition can occur without a check-engine light.

The named plaintiff's experience

Williams says he purchased a new 2025 Chevrolet Equinox RS for $36,587.12 in October 2024.

According to the complaint, the vehicle began experiencing rough and delayed shifting at about 7,000 miles. At roughly 14,000 miles, while the vehicle was still under warranty, a dealer replaced the front axles and told Williams that the transmission fluid had been "topped off."

The complaint says the transmission problem has not received a permanent repair.

The filing also cites complaints submitted to the National Highway Traffic Safety Administration as evidence of similar problems among owners. It says its review identified 358 CVT- or powertrain-related complaints among 1,494 complaints involving the four vehicle lines.

Those NHTSA complaints are owner submissions and are not independently verified findings. The complaint says recurring reports include P2714 trouble codes, failure to engage forward drive and valve-body replacements that did not resolve the reported problems.

A key issue for the proposed class

One challenge for the lawsuit is whether the alleged problems are sufficiently similar across all of the vehicles included in the proposed class.

The complaint discusses both the VT40 and TR690 transmission families and argues that they have the same or substantially similar architecture. But the most specific GM bulletin cited in the case, 24-NA-009, applies to the Malibu and Trailblazer rather than the Equinox and Terrain.

That distinction could become significant in any fight over class certification. The named plaintiff owns a 2025 Equinox, while the bulletin describing the clutch regulator valve problem specifically covers the Malibu and certain Trailblazer models.

The complaint also cites a bulletin involving the Buick Encore GX, although that model is not part of the proposed class.

What the lawsuit seeks

The complaint asserts claims involving California consumer protection and warranty laws, breach of express and implied warranties, the federal Magnuson-Moss Warranty Act, negligence, unjust enrichment and fraudulent concealment.

It seeks damages and asks the court to order GM to issue a voluntary safety recall under federal vehicle safety law.

The proposed class excludes people who suffered personal injuries, according to the complaint. Any such claims would therefore fall outside the proposed class.

GM has faced other transmission litigation

The lawsuit comes as GM continues to face separate litigation involving certain eight-speed automatic transmissions.

In its most recent quarterly SEC filing, GM disclosed pending litigation involving 8-speed automatic transmissions in various 2015–2022 vehicles. The company also reported that a federal appeals court in June 2025 decertified 26 state subclasses that a lower court had previously approved in litigation involving 2015–2019 vehicles.

The history illustrates one of the major procedural hurdles in transmission class actions: establishing that an alleged defect is sufficiently common among a large group of vehicles and owners.

What affected owners can do

Owners experiencing hesitation, delayed engagement, slipping or other transmission symptoms can document the problem through their dealer and keep copies of repair orders, including records stating that a problem could not be duplicated.

The complaint says the affected vehicles carry a 5-year/60,000-mile powertrain warranty and a 3-year/36,000-mile bumper-to-bumper warranty, according to its summary of GM's warranty coverage.

Owners can also ask dealers whether GM bulletins 24-NA-009, 16-151-24R or PIP6033 apply to their specific vehicle and VIN. A diagnostic scan may also identify transmission trouble codes, including P2714, that should be recorded on the repair order if present.

The lawsuit itself does not establish that every vehicle covered by the proposed class has a defective transmission. Owners considering repairs, warranty claims or other action should rely on their vehicle's records, applicable warranty terms and information specific to their VIN.

The complaint also says GM has confirmed that the 2027 Equinox will move from a CVT to a conventional eight-speed automatic transmission. The filing does not establish why GM made that change, and the complaint's description of the transmission switch does not by itself establish a connection to the allegations in the lawsuit.

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