Nissan to pay $5,000 to owners of vehicles with CVT, while lawyers receive $3.5 million

Settlement in the case of faulty Nissan transmissions

A class-action lawsuit against Nissan, related to defective continuously variable transmissions (CVT) in certain models, has finally reached a resolution. After two years of legal proceedings, the company has agreed to compensate vehicle owners. Four plaintiffs will receive $5,000 each, but the real winners appear to be the lawyers, who earned $3.5 million.

The case involves Nissan vehicles manufactured between 2015 and 2018, which were found to have transmission issues. Initially, owners demanded a full recall of the faulty transmissions, but Nissan proposed an alternative solution.

Terms of the agreement

The company extended the warranty on the transmissions to 84 months or 84,000 miles, though for most vehicles, this period has already expired. Those who previously paid for repairs will be reimbursed by Nissan if the work was performed after the standard warranty expired but before the end of the new warranty period.

If the repair was conducted at an official dealership, the compensation will cover the full cost. For other service centers, the reimbursement amount is limited to $5,000.

Additionally, Nissan is offering $1,500 vouchers for the purchase of a new Nissan vehicle, but only to owners who have had two or more transmission repairs. However, owners must choose between compensation or the voucher—they cannot receive both.

The deadline to submit reimbursement claims is July 3. Those who disagree with the terms may file objections before the hearing on July 18.

This settlement represents a compromise, allowing Nissan to avoid a large-scale recall while acknowledging the CVT issues. Although the compensations will not cover all owners’ expenses, it is still a step forward in resolving the long-standing conflict.

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