When you spend $60,000 or more on a new GMC Sierra, Yukon, or Canyon, you expect “Professional Grade” performance and reliability. Unfortunately, thousands of California owners are discovering that their trucks and SUVs are far from dependable. In 2024, General Motors recalled 462,000 vehicles due to serious transmission problems that could cause rear wheels to lock up unexpectedly. These issues, combined with ongoing brake failures and engine defects, have triggered a surge in lemon law claims across the state. Nearly one in four lemon law cases filed in 2024 involved a GMC model. Under California’s Song-Beverly Consumer Warranty Act, owners whose vehicles suffer persistent defects may qualify for a buyback, replacement, or cash compensation. This blog explains the scope of GMC’s transmission problems, additional safety recalls, and the steps California drivers can take to assert their lemon law rights. With careful documentation and prompt action, you can protect your investment and hold the manufacturer accountable for unresolved defects.
GM’s 462,000 Vehicle Transmission Recall: The Scope of the Crisis
In late 2024, General Motors issued a recall affecting nearly half a million vehicles, including over 215,000 GMC Sierra trucks and thousands of Yukon SUVs. The recall—NHTSA Campaign N242454440—targets diesel-powered models with defective transmission control valves. These faulty components can lose pressure and cause the rear wheels to lock during downshifts, creating a serious safety hazard for drivers and passengers alike.

The issue was first reported through GM’s internal “Speak Up for Safety” program after property damage incidents surfaced. GM’s proposed fix involves updating transmission control module software to detect wear earlier, but many owners report that problems persist even after the recall repairs. In practice, this leaves drivers stranded, limits the use of their trucks or SUVs, and can erode confidence in their vehicle’s reliability. For California consumers, unresolved defects strengthen a lemon law case, especially when safety is directly affected. Acting quickly and documenting each incident is essential to protecting your rights and pursuing a favorable outcome.
GMC 8-Speed and 10-Speed Transmission Failure Patterns
GMC’s automatic transmissions have long been a source of frustration for owners, even beyond official recalls. The 8-speed models (8L90 and 8L45) are known for torque converter issues, hard shifting, hesitation, and unexpected lurching, often starting within 20,000 miles of use. These problems have been the subject of more than 60 technical service bulletins and even a 2022 class-action lawsuit alleging GM knowingly sold defective units.
The newer 10-speed automatic transmissions, commonly used in diesel models, also face issues. Control valve wear can cause delayed acceleration, surging during shifts, and significant power loss, creating potentially dangerous driving conditions. These issues can interfere with everyday driving and limit towing capabilities, making the vehicles unreliable for both work and personal use. In 2024 alone, transmission-related complaints represented 30% of all GMC lemon law cases, with average settlements reaching $55,000 when defects persisted after multiple repair attempts. Consistent documentation of symptoms and repairs strengthens any lemon law claim.
Sierra 1500/2500/3500: Heavy-Duty Truck Transmission Problems
The Sierra 1500, 2500, and 3500 trucks are marketed as reliable workhorses, yet owners continue to experience severe transmission issues. The 2024 recall covered more than 215,000 Sierra units, particularly diesel models. Problems reported include harsh shifting, delayed response under load, and total lock-up in some cases, especially when towing heavy loads.
Truck owners rely on these vehicles for work, hauling, and family duties, making these defects far more than a minor inconvenience. In a 2024 Sacramento case, a Sierra 2500 owner obtained a $65,000 buyback after repeated transmission repairs failed. Courts recognize that heavy-duty trucks carry heightened expectations for reliability, and these expectations can strengthen a lemon law claim. Detailed documentation of towing conditions, mileage, and repair history is critical when asserting rights under California’s lemon law. Prompt action ensures that the vehicle’s persistent defects are legally recognized and addressed.
Yukon and Yukon XL: Full-Size SUV Transmission Failures

The Yukon and Yukon XL, commonly used by families and for towing in California, are not immune to transmission defects. Both models suffer from 8-speed and 10-speed transmission issues, including hesitation, lurching during acceleration, and sudden power loss. The 2024 recall affected more than 5,000 Yukons, yet many owners continue to report problems even after repairs.
These SUVs are marketed as premium vehicles, emphasizing safety and reliability, which increases the expectations courts place on them. In a 2023 San Diego case, a Yukon owner received a $70,000 buyback due to persistent shifting problems. High-end Denali trims may yield even higher settlements due to their price and marketed performance. Owners should meticulously record all repair visits and symptoms, as courts consider the consistency and severity of issues when evaluating lemon law claims. Timely documentation is essential to maximize compensation.
Canyon Mid-Size Pickup: Transmission Plus Additional Defects
The GMC Canyon faces a combination of transmission problems and additional recall-related issues. In 2024, over 13,000 Canyons were recalled for flickering headlights (24C39), and 2,492 were recalled for loose fuel tank lock rings, which could leak in the event of a collision. Transmission complaints include hesitation, slipping, and inconsistent shifting, reported in 15% of 2024 Canyon lemon law claims.
The combination of multiple defects creates a pattern of unreliability that courts take seriously. In one 2024 case, a Canyon owner received a $50,000 settlement after repeated transmission issues were compounded by headlight failures. Documenting each defect separately strengthens your lemon law case and demonstrates the cumulative impact of these problems on vehicle use, safety, and value. Owners should retain all repair orders, recall notices, and service communications for maximum legal protection.
Brake System Warning Failures: Safety Critical Defects
In addition to transmission issues, certain 2023–2024 Sierra and Yukon models were recalled for electronic brake control module (eBCM) software failures. This defect prevented warning alerts when brake fluid levels dropped, posing a serious safety hazard by impairing stopping performance. Recall NHTSA 24V797 addressed the issue, but repairs do not always resolve the defect permanently.
Under California’s Song-Beverly Act, safety-critical defects often qualify as lemons after just two unsuccessful repair attempts. In a 2024 case, a Yukon owner secured a $60,000 settlement for unresolved brake warning failures. Retaining detailed records of warning light activations, service appointments, and repair orders is essential to substantiate claims. Even minor lapses in braking alert systems are taken seriously under lemon law due to the heightened safety risk. Consistent documentation protects your rights and ensures proper evaluation by the court.
Engine Problems: 6.2L V8 Connecting Rod and Crankshaft Issues
GMC Sierra and Yukon models equipped with the 6.2L V8 L87 engine have also faced serious engine defects. Nearly 600,000 vehicles from 2021–2024 were recalled for defective connecting rods and crankshafts, which could result in catastrophic engine failure. Affected engines may experience knocking, sudden power loss, or complete seizure, creating a major safety risk.
GM’s recommended repair includes inspections and part replacements, but owners continue to report recurring failures. In one Los Angeles case, a Sierra owner was awarded $75,000 after the engine failed twice under warranty. High-performance engines come with elevated reliability expectations, and repeated defects strengthen lemon law claims. Owners should retain all diagnostic reports, service invoices, and repair documentation to substantiate the severity and persistence of engine issues. Early intervention and thorough records maximize recovery potential.
Why GMC Transmission Problems Often Qualify as Lemons
Transmission issues impair three critical aspects of vehicle ownership: use, value, and safety. Persistent shifting problems, power loss, and wheel lock-ups hinder daily driving, decrease resale value, and present safety hazards. California law considers these factors when evaluating lemon law eligibility, often requiring just two to four unsuccessful repair attempts for a vehicle to qualify.
Consumer expectations are high for GMC’s “Professional Grade” branding, which courts consider when determining compensation. In 2024, more than 80% of GMC transmission cases met the substantial defect threshold. Courts also factor in marketing claims and vehicle price when assessing damages, particularly for premium trims such as Denali. Properly documented repair history, persistent symptoms, and service records strengthen any lemon law claim, making it easier to secure a full refund, replacement, or cash settlement.
GMC’s Response: Recalls, TSBs, and Customer Satisfaction Programs
GM has issued numerous technical service bulletins (TSBs) and recalls to address transmission defects. In 2024 alone, more than 60 TSBs were released for 8-speed transmission problems, alongside a customer satisfaction program for 10-speed models (N232409730). While these actions acknowledge defects, they often fail to permanently resolve underlying problems.
Courts consistently recognize that recalls and TSBs do not limit lemon law rights. In fact, repeated failures after these remedies often strengthen consumer claims. In 25% of GMC cases in 2024, recall repairs did not address the defect, resulting in buybacks or settlements. Retain all TSBs, recall notices, and service records, as these documents serve as evidence that the manufacturer was aware of widespread problems yet failed to deliver reliable repairs.
Maximizing Your GMC Lemon Law Recovery
Protecting your rights begins with meticulous documentation. Save every repair order, recall notice, service record, and any videos demonstrating transmission or engine issues. For truck owners, emphasize towing and work-related reliability expectations. For SUV owners, highlight family safety concerns.
Manufacturers often claim defects are “normal operation” or minor, but NHTSA data and consumer complaints demonstrate otherwise. Consulting a lemon law attorney after just two failed repair attempts can significantly improve recovery. Litigation often results in 30% higher settlements compared to cases without legal guidance. A well-documented case showing repeated unresolved defects, combined with professional legal representation, maximizes your chances of a favorable outcome under California’s lemon law.
Conclusion
GMC’s Sierra, Yukon, and Canyon models face systemic defects affecting transmissions, brakes, and engines, with 462,000 vehicles recalled in 2024. These issues are not minor inconveniences—they meet California’s criteria for substantial defects and entitle owners to buybacks, replacements, or cash compensation. Thorough documentation of repairs, recalls, and persistent defects is critical in asserting your rights and countering manufacturer defenses.
At Win Lemon Law, we help California consumers hold manufacturers accountable when their vehicles fail to perform as promised. Our team guides clients through the lemon law process, from documentation to legal representation, ensuring they receive the maximum compensation possible. Contact us today for a free case evaluation and discover your options for securing your GMC lemon law recovery.