Class action launched against General Motors over ‘faulty’ Holden transmissions

Hundreds of thousands of Holden owners could be eligible for compensation from GM after a class action was launched over alleged faulty transmission systems. Does your car have one?

The final 2017 VF Commodore sedan crolls down the production line at Holden’s Elizabeth factory north of Adelaide. Picture: Randy Larcombe

Hundreds of thousands of Holden owners could be eligible for compensation from global car giant General Motors after law firm Maurice Blackburn launched a class action in the Federal Court over alleged faulty transmission systems.

The allegations span a range of vehicles sold in the past 13 years and include its best-selling Commodore VE, the Commodore VF and the Colorado models.

General Motors Australia and New Zealand is being accused of failing to comply with the guarantee of acceptable quality under Australian Consumer Law and for engaging in “misleading and ­deceptive conduct”.

In a statement, Maurice Blackburn said the Holden transmission class action had been brought on behalf of people who bought certain models of Holden vehicles between January 1, 2011 and ­December 24, 2024.

The vehicles equipped with a GM 6L 45 transmission, GM 6L 50 transmission or GM 6L 80 transmission are covered by the action.

A VE Commodore, one of the models named in the law suit.

“The transmission systems in the affected Holden vehicles are defective due to a design fault in the torque converter and torque converter clutch,” Maurice Blackburn principal lawyer Kimi Nishimura said.

“Because of the alleged defect, car owners have experienced problems with their vehicles, including intermittent transmission shudders, excessive vibrations and harsh gear shifts.

“Owners of the affected vehicles have also reported leakage of automatic transmission fluid, accelerated degradation of transmission system components and greater servicing requirements.”

Ms Nishimura alleged General Motors failed to comply with Australian Consumer Law requirements and “engaged in mis­leading and deceptive conduct”.

“For most Australians, cars are one of their biggest investments, and consumers are entitled to expect that the cars they buy are free from defects,” she said.

Maurice Blackburn is seeking to recover compensation for ­affected customers.

Holden’s Colorado is named as one of the models potentially built with a transmission fault.

It is urging those affected to register for the class action even if they have sold the vehicle, the vehicle has been written off, or they acquired an affected vehicle, but have not experienced any problems with it. Maurice Blackburn is running the case with support from litigation funder Balance Legal Capital.

In response, a General Motors ANZ spokeswoman said the company “does not comment on ongoing litigation”.

In October last year, General Motors agreed to a $US35m settlement with US owners of certain General Motors Company and Chevrolet vehicles following a class action over defective parts.

The proposed settlement covered some 2011-2016 models of its trucks that used Duramax diesel 6.6L V8 LML engines allegedly with “unreasonably fragile” high-pressure fuel injection pumps.

General Motors denied any wrongdoing as part of that settlement.