In a move that marks the end of a years-long legal battle, Nissan has agreed to settle a class-action lawsuit alleging that certain models of its vehicles were sold with defective continuously variable transmissions (CVTs). The Japanese automaker will pay $3.47 million and offer an extended warranty to eligible owners of affected Nissan Murano and Maxima vehicles. While the settlement provides some relief, it falls short of what plaintiffs initially demanded.
Background: Allegations of Defective CVTs
The lawsuit, filed in Tennessee in October 2022, accused Nissan of knowingly selling vehicles equipped with faulty CVTs that posed safety and reliability issues. Specifically, the complaint targeted 2015–2018 Murano and 2016–2018 Maxima models. Plaintiffs argued that these vehicles experienced sudden jerking, hesitation, and, in some cases, total transmission failure.
The suit further alleged that Nissan failed to inform customers about these defects and continued to lease and sell vehicles across the U.S., putting consumers at risk. Plaintiffs sought complete transmission replacements and a halt on future CVT-equipped vehicle sales.
Settlement Terms: Millions for Lawyers, Modest Relief for Owners
Nissan has agreed to a $3.47 million payout but has admitted no wrongdoing as part of the settlement. Court documents show that $3.45 million of the settlement amount will go to the legal team representing vehicle owners, with the remaining $20,000 split between the four named plaintiffs at $5,000 each.
In addition to the payout, Nissan will extend the warranty coverage on the affected vehicles. The new terms cover the transmission for 84 months or 84,000 miles, whichever comes first. However, since the latest of these vehicles was manufactured in 2018, many are already outside the window of eligibility.
Reimbursement and Purchase Incentives
Nissan will offer reimbursement for past transmission repairs—but only under certain conditions. If the repair or replacement was completed at a Nissan dealership during the extended warranty period, customers may receive a full refund. Repairs done at independent shops are also eligible for reimbursement, but only up to a maximum of $5,000.
There’s a silver lining for repeat transmission trouble victims. Customers who experienced two or more CVT-related repairs or replacements can opt for a $1,500 credit toward the purchase or lease of a new Nissan or Infiniti vehicle. However, they must choose between this incentive and the reimbursement, not both.
Final Approval Still Pending
A final fairness hearing is scheduled for July 18, at which time the court will determine whether to grant final approval to the settlement. If approved, the agreement will become legally binding and pave the way for reimbursements and extended warranties to go into effect.
Customer Caution: Read the Fine Print
While the settlement may appear to offer relief, affected customers are urged to carefully review eligibility requirements, deadlines, and fine print. Most notably, the extended warranty’s time limits and the “qualifying repair” clause may leave many owners without any financial benefit.
For more information on how to claim benefits or verify eligibility, customers should visit the official settlement website or contact the claims administrator once the court gives final approval.
