Hyundai Class Action Lawsuit Alleges Engine Defect Should Have Resulted in Recall Actions

Hyundai Class Action Lawsuit Alleges Engine Defect Should Have Resulted in Recall Actions

A California couple has filed a class action lawsuit alleging that their Hyundai Santa Fe’s 3.3L Lambda II engine failed before reaching 80,000 miles, due to a design defect that causes excessive internal wear and premature engine damage.

The complaint (PDF) was brought by Jason Burns and Allison Burns in the U.S. District Court for the Central District of California last month, naming Hyundai Motor Company and Hyundai Motor America as defendants.

Hyundai is one of the largest automobile manufacturers in the U.S., selling millions of vehicles annually. However, in recent years hundreds of thousands of its vehicles have been found to contain dangerous defects, which could lead to premature engine failure.

According to the Burnses’ lawsuit, this failure could occur at almost any time, with little to no warning, resulting in a loss of vehicle control, accidents and fires, which may cause serious injuries for drivers or passengers.

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Jason and Allison Burns say they bought a used 2019 Hyundai Santa Fe for $25,000 in May 2019. The SUV, which had one prior owner and 17,350 miles on the odometer, came equipped with a 3.3-liter Lambda II GDI engine.

However, less than five years later, the engine reportedly failed without warning. According to the lawsuit, the vehicle stalled and lost power in April 2024, with under 80,000 miles, which was the result of a defect caused by excessive bearing wear, metal debris, and oil contamination that destroyed the engine’s rotating assembly.

The couple claims Hyundai has long known about the problem through internal testing, warranty data and customer complaints, but failed to issue a recall or disclose the risk. When they sought warranty coverage, the company allegedly denied their claim, despite the failure occurring within the powertrain warranty period, leaving them with thousands of dollars in repair costs.

Court filings describe the breakdown as catastrophic, marked by a loud bang, smoke, oil leakage and a hole in the engine block consistent with rod bearing failure. Photos attached to the complaint reportedly match damage seen in previous Hyundai recalls involving similar engines.

The lawsuit notes Hyundai has recalled other vehicles with Lambda II and Theta II engines for the same issue but excluded certain Santa Fe models that share nearly identical parts. The Burnses argue the company misled consumers by promoting its “America’s Best Warranty” while refusing to cover known engine defects.

They also accuse Hyundai of concealing a 15-year, 150,000-mile extended warranty quietly introduced in 2024, after federal regulators began investigating similar engine failures. The couple says they were never notified about the coverage and were instead persuaded to sell their inoperable vehicle at a loss.

The complaint references a February 2024 petition filed with the U.S. National Highway Traffic Safety Administration (NHTSA) over a nearly identical failure at 61,000 miles. The Burnses contend Hyundai expanded its warranty in response to that review to avoid a formal recall, while continuing to deny coverage for affected owners.

In August 2024, Hyundai allegedly issued a confidential technical service bulletin to dealerships outlining the extended warranty, labeled “for dealer use only.” The couple says that restriction kept second-hand owners like them from learning about the coverage, even though it was intended to apply to all vehicles with the defective 3.3L Lambda II engine.

“If Plaintiffs had known of the Engine Defect’s existence at the time of their purchase, then they would not have purchased their Class Vehicle, regardless of whether the Defect had yet manifested in their Class Vehicle at the time of purchase.”

Jason Burns and Allison Burns v. Hyundai Motor Company et al

The Burnses raise allegations of untrue, misleading and deceptive advertising, unlawful, unfair and fraudulent business acts and practices, breach of express and implied warranties, and violation of the California Consumer Legal Remedies Act.

They are seeking class action certification for their complaint, in addition to actual, compensatory, general, special, incidental, statutory, punitive and consequential damages, as well as a court order requiring Hyundai to recall the affected engines, reimburse owners for repair costs, and fully disclose the defect to all vehicle owners and lessees.

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Written By: Michael Adams

Senior Editor & Journalist

Michael Adams is a senior editor and legal journalist at AboutLawsuits.com with over 20 years of experience covering financial, legal, and consumer protection issues. He previously held editorial leadership roles at Forbes Advisor and contributes original reporting on class actions, cybersecurity litigation, and emerging lawsuits impacting consumers.



26 Comments


Karen
2019 tucson night engine failure at 45k miles, motor replaced last year. Making noises again and they just replaced the front differential. I just got it back and its STILL making engine noises. HYUNDAIS ARE AWFUL! NEVER EVER AGAIN will I buy a Hyundai.

Peggy
After my own 2014 Hyundai engine failed under 100,000 km after a period of excessive oil consumption, I’ve read many, many people – on both sides of the Canada/US border – tell of stories where dealerships brushed off their issues or told them things were “fine” or “normal” during the warranty period, only to experience complete failure post warranty period. Hyundai’s own user manuals state “check your oil every time you fill with fuel” – buried somewhere in the middle, as opposed to on the service interval summaries. People deserve to be compensated, and Hyundai/Kia doesn’t deserve to remain in operation in North America until this happens.

Rachel
We are having issues with our 2017 Hyundai Sonata, it is burning oil. We have had the oil changed and my husband changed oil filter due to dealership chargers $60 dollars. We have lifetime power chain warranty through Total Warranty Services they are given us the run around about replacing the warranty. We did the combustor chamber cleaning that cost us around $1,200 it helped for 3 months after next oil change it started losing oil again. Hyundai service department is trying to get this taken care of for us but as we are figuring out Total Warranty Services is a trip off. Per reading other comments there has been a lot of issues with Hyundai motors. Why TWS is refusing to fix my car it is not fair to us and all the others that are having the same issues. When they all know these motors are defected.

Shannon
In March of 2021, I bought a used 2017 Hyundai Tucson that had 22,000 miles on it through a dealership. From 2021 to 2024, my car relatively ran well, I was always on time for oil changes and everything. In February of 2024, at around 65,000 miles , I was due for an inspection but also had extreme acceleration issues with my car. My car would not go past 40 mph and that was pushing it. I couldn’t even go on the Thruway because it would be too dangerous. A local mechanic in Western New York told me that I needed a new transmission and quoted me several thousands of dollars. However, with me still being under extended warranty till $85,000 and powertrain warranty up to 100,000 miles, I decided to contact the dealership that I bought the car from. The dealership stated that I did not need a new transmission but I needed a new catalytic converter. From February 2024 to December of 2024, I got the catalytic converter replaced, however, my car was back in the shop four more times including having an oil consumption test done and the problems were reoccurring throughout the whole year. In this year, 2025, I brought my car back to the dealership shop two times about this ongoing issue. Each time they would charge me the diagnostic fee of about $200 for the same ongoing issue. Each time they would maybe top off my oil but stated nothing is wrong. This past September of 2025, my car again was having issues and I reached out to the dealership again. The service manager was very rude, condescending and stated that my car was in their shop last year five times, this year two times and each time they don’t really find any issues. He had the audacity to ask me what exactly is dangerous about my car. I told him that I am having extreme acceleration issues, my car is knocking, shaking and I can’t go on the Highway past 40 mph. He pretty much refused for me to bring in my car again. I reported him to the Hyundai corporate office and proceeded to reach out to another dealership. Unfortunately, this brought me to having to resign from my job as of October 1st of 2025 due to not having a reliable car. I pay about $600 each month between car payment and car insurance, for a car that I can barely use. I started going to a new dealership at the end of September 2025 and within 24 hours they determined I needed another new catalytic converter and the issue might be because my engine is burning excessive oil. They gave me some recommendations of where to go locally for a new catalytic converter. After looking up the prices, I decided to reach out to Hyundai corporate because I should not be responsible of this because it is an ongoing issue, it started when I was at 65,000 miles and now I’m at 83,000 miles. Thankfully, the new dealership has gone above and beyond and helped me file a report with hyundai. Hyundai corporate covered 90% of the second time around with the new catalytic converter. Also, when I went to this new dealership just this past September of 2025, I was not due for another oil change for another $1,500 mi. They stated that when it gets close to my next oil change, to come to them and They will do a second oil change. Fast forward a couple of weeks into The last week of October of 2025 just a few weeks ago. I still had about 1200 miles to go till my next oil change, but my car started making again really bad noises, knocking and some acceleration issues. I brought my car to the dealership because from the past year and a half, I’ve had to get my oil topped at least 2 to 3 times between the 3,000 miles of each oil change. The Sounds come when you have little to no oil in your car. The dealership was very shocked that I had no oil in my car and I still had some time to go till my next Oil change. They just recently topped my oil but stated that I should come as soon as possible to have another oil change and they will start the oil consumption test. Now, we are in November of 2025, I just saw them recently and I’m going to be calling them this coming week to get my car in oil change. However, in the past 2 days, my car is now again having acceleration issues, and overheating. I am going to inform them about this and I know that it is highly possible that I will be able to get a new engine with me being still under 100,000 miles for powertrain warranty. However, this has been such a huge stress, has given me anxiety, I haven’t been able to enjoy this car like I should especially with paying almost $600 a month. I had to quit my job and currently trying to find another job that is close by to where I live so I don’t have to push my car too much. I should not have to do this and Hyundai should take responsibility of any ongoing issues that owners are facing. I am very patient, but having hundreds of people going through similar situations, somebody needs to take action! I filed for unemployment back in October due to me having to resign. Unfortunately, resigning from a job obviously you have to go through other stops. I explained to New York unemployment office that I had to resign due to negligence from a dealership and my car was not safe to drive. I explained in detail similar to this comment that I am leaving of what I have had to go through and what I have been trying to be proactive. I am still waiting to hear back from New York unemployment.

Nicola
I have a 2016 second owner purchased around 79,000 miles I took it to a certified Hyundai dealership and was told the warranty of 100,000 didn’t apply second owner and I would have to come out of my pocket for any and all repairs I I was never informed of the 150,000 mile warranty I had to replace the whole transaction new not rebuilt along with a defeated hood latch that cause my hood to fly up while I was on the highway and breaking my windshield I have some type oil leak I had an anti freeze leak had to replace radiator along with many other things all our of my pocket

Kathy
I’m going thru this with my 17 Hyundai Tucson, I bought from a used dealer in nj. Car had approximately 125000 miles on it when bought. Car was having trouble getting up hills and stalled on my daughter, brought to mechanic and he said car had no oil but I just had oil change done about 3 weeks prior. Mechanic said no oil leak, that it was consuming oil like crazy and get it to a dealer because Hyundai’s are known for this. Within a week it sounded like a belt was loose and the car wouldn’t go over 2 rpms. It was the catalytic converter and I had replaced and called the dealership and the manager of the repair dept said to bring it in for an oil consumption test and it was covered till 150,000 miles under the extended warranty. Brought it in and the mechanic said everything the opposite of what the manager of that dept said and I told him that and he started to back pedal. Said I would have to pay for the oil consumption test but even if it came back with a problem it still wouldn’t be covered and I challenged him on that and he had to consede but I at this point couldn’t pay for the test and he told me that because I didn’t have a check engine light on that they wouldn’t cover it, told me I would have to drive it till no oil and then bring it in. Which I thought was ridiculous. I am less than 6mos out from having the cat replaced and the cat is failing again and it’s making a clacking noise and won’t get any acceleration and I’m having to resort to just getting rid of it and never buying Hyundai again. They are a crap company and don’t stand by their product.

Amanda
2020 Hyundai Palisade has Gdi engine too same issue according to the dealership. There are thousands apparently with the Palisade issues. Even a facebook group full of complaints

Jessica
I have a 2017 Hyundai Sonata and I have been having issues . Turbo went out just under 100,000. Was able to get that covered under warranty thank God but I also had issues with the car shaking at idle . When Hyundai changed the turbo I told them about the shaking and they said they didn’t feel anything and nothing was wrong . It still shakes today ! I felt like they knew my car was almost at 100,000 and they didn’t want to have to cover another issue! My car burns oil as well . Asked them about that and they said it was normal . It’s allowed to burn 1.25 L every 1,000 miles . The oil burning is causing the spark plugs to burn out faster than they should ! I have had to replace them several times this past year ! To be honest I don’t think any car should burn oil at all . Another issue is carbon build up ! I have a GDI engine and I guess they are known for carbon buildup . I was never told this and now I’m having to add fuel additives to help get rid of the carbon build up . Lastly the paint issue! My paint has been peeling off ! I know that there is an extended warranty and I have had it fixed several times , but Hyundai will only fix the spots that are peeling at the time and not paint the whole car . The paint on the whole car is defective at Hyundai’s fault but you only fix what is coming off ! Doesn’t make sense to me ! I can’t even take my car to the Hyundai body shop that is close to me that I have had it fix before anymore because Hyundai will not pay them the amount that they quoted to fix the paint ! Hyundai did find me another body shop but I have to drive a little farther and I have to take it to multiple body shops to get quotes before this particular place that they found will paint my car ! It’s ridiculous the headaches I have had with this car ! I will absolutely never ever buy another Hyundai again ! They are pieces of crap and the company just keeps seeking the crap engines over and over ! They should be sued out the butt! I didn’t buy this car to experience all these problems ! I will never send anyone there to buy I car from them not even my worse enemy!

Tylette
I had a 2015 Hyundai Sonata that is consuming oil every 8 days, even after a new oil change. It had gotten to the point every two months the spark plugs had started miss firing, because of the build up. I am currently waiting for them to retrieve the car. Because two of the spark plugs and coils have gone bad. Sad that one of the two I replaced two months ago. I purchased an extended warranty and the extended warranty (Silver Rock), refused to cover the problem. So I got a new car.

Sima
I took my 2015 Hyundai Sonata in which engine failure in 02/01/24. After 14 months of going back and forth with Hyundai to approve a new engine, after receiving a letter from the NC dept of motor vehicles that I had abandoned my vehicle, and months of waiting with little to no communication, I decided to pick up my car and fix the engine myself. I was given back my car with my entire engine in the truck and back seat of my car. I spent 7000 to replace my own engine. I spent 15,000 in rentals after I was refused a loaner for 14 months. This was the most stressful year in a long time. Something needs to be done about this failure.

Leslie
I bought my 2021 Palidade new. At 80,000 miles, my car started dying at stop signs and once while getting on the freeway. It was running so rough, the engine was loose from the motor mounts. Imagine my surprise when Hyundai dealership told me my oil was 5 quarts low! I had had my oil changed 2,000 miles before. They told me I had to do oil consumption tests but a week later my car was sluggish going up hills. I did get a remans engine. Although, I have read numerous accounts of people being on their 3rd engine. I got my car back and the following day the transmission went out, although I paid for a transmission fluid exchange days prior. I did get a remans transmission after. All in all I am am deeply disappointed with Hyundai and their GTI engines with known issues. I will be getting rid of this before the 100,000 mile warranty is up. I cannot trust this car that I paid $44,000 for. Their are thousands of stories like mine on multiple Facebook groups. Count me in on this class action lawsuit!!

Bo
I have a 2017 Sonata the the engine locked up without any warning and got stuck with an bill for $8,000 for a know product problem. No help from the factory at all.

Stephanie
I have a 2018 Sante Fae Sport with a oil consumption problem to where it becomes 3 quarts low and the oil light does not alert of issue. Bought this from a dealer in 2023 and they claimed no oil consumption issues. But a mechanic doing a oil change informed me of sludge buildup and then after noticed the nonstop issues of adding oil. As the 3rd owner Hundai claims neglect to the car from previous owner (no docs or listed on Carfax) and denied my claim 2x.

Ashley
I have a 2021 Hyundai Kona that had issues with the motor and they told me it was completely normal oil usage. It was a hassle trying to get anything fixed

Otoniel
My hundai 2017 has been a nightmare

Isabelita
I have had nothing but issues with my Hyundai 2014 Sonata. I take my vehicle in to do all the updated recalls and when I bring it in because there is an issue they say there isn’t anything wrong. Unfortunately, I’m spending money on my vehicle that gets maintenance regularly and its engine seized. I took my car to the dealership several times regarding the knock I hear, oil consumption and the stutter when cranking the car to which they said there was nothing wrong. It took my engine seizing for them to even diagnose. They refused to replace my engine and acknowledge that it was a recall issue. Hyundai Corporation did not bother with trying to provide me with a reasonable compensation at the least. When I asked why they feel it didn’t qualify under the recall, they stated that my car had more than 150k on it and it was out of warranty. But when I took it in to get looked at for the very same concerns I mentioned earlier my car was within its warranty before seizing. I incurred major expenses after this recall because once the engine seized it caused a bunch of other car parts under hood to go bad. Hyundai is by far the worst manufacturer to buy a car with not just because their parts suck but the Costumer Service and promise behind the recalls are never satisfied and true.

Akilah
I had a Brand New 2021 Hyundai Tucson, engine failed in 2024 at 56,000 miles. Still under warranty and repair was denied. It ruined my credit and caused tons of stress Im still dealing with. No one would take my case. I hope they win this case Hyundai engines are terrible.

Lisa
My 2017 Santa Fe was the first car I paid off and kept up on maintenance. Just last Feb, following receiving notice on extending warranty on engine to 150,000 miles, had an engine sound like a bolt was loose and flying around in my engine. The dealership said it would cost me $9 grand to fix, that’s more than the cost of an engine. They told me it was because I didn’t keep up on my oil changes which was untrue. After retiring I hardly drove any miles and there were never any leaks. I ended up leasing a Tucson cuz I couldn’t pay the $9k. I have read similar things about Hyundai’s recently and now this class action… very interesting why the dealer didn’t want to cover the repair. I didn’t need a car pmt after retiring.

Amanda
I’ve had nothing but issues with my 2016 Hyundai Santa Fe, before I purchased it in 2020 they didn’t bother telling me about the oil consumption issue (that Hyundai is known for) and now dealing with no heat from a head gasket leak (again that Hyundai is known for). Are they afraid of loosing business if they are honest with their customers on their vehicles problems?

Sarah
I have recently had the same issue. I am the original owner of my 2020 Hyundai Kona SEL when out of nowhere when stopped at a red light, the car stalled without knowing. This happened 2 more times before becoming disabled. I had the vehicle for 5 1/2 years at it only has 69k miles. I saw the engine recall on NTSB and emailed their corporate asking why I wasn’t notified. They stated it wasn’t a recall. My 17 year old son could have been driving and got into a serious accident. It took the dealership a month to even touch the vehicle and to finally give me a loaner after a complaint to corporate office. They are fixing it, but I’m doubtful on keeping it after this.

Laura
own a 2017 Hyundai Tucson that has been part of multiple class action lawsuits. Recently, I noticed the engine lights came on, and after having it scanned, it indicated an issue with the clutch to clutch four. There’s a class action suit related to the dual-clutch transmission, and my vehicle has been experiencing significant problems, such as being unable to reverse and lacking second and fourth gears. While at the dealership, I was informed that the theft prevention device required an update, and I was charged $300 for the diagnostic service. And 5000 to fix file clutch transmission problems However, I was told that my VIN was not included in any of the class action lawsuits, despite my model and year matching the criteria with the same issues. How do they determine what 2017 Tucson’s are involved? After picking up my car and bringing it home, the engine lights remained on, and I still couldn’t engage reverse. Frustrated, I spent weeks reaching out to attorneys and the Attorney General, seeking assistance with the class action suits. Then, in an emergency situation when my father didn’t return from a shopping trip and left his phone behind, I jumped into my car. Surprisingly, as I was driving, I discovered that the car was able to go into reverse, and the engine lights were off, leaving me wondering if the software update for the theft device actually resolved the issues. Additionally, I purchased my vehicle from CarMax, which was implicated in lawsuits from 38 states. I bought my Tucson in July 2020, shortly after the March 2020 lawsuit concerning the Hyundai dual-clutch transmission, which adds another layer of complexity to my situation.

Mattie
I have a 2008 veracruz. I have. had a number of problems in the past, with rear stop lights, gear issues, an enormous oily foam covering entire alternator ..and surrounding parts under front hood..car could not be driven. alternator was replaced. I am now experiencing intermittently stalling of car.

Kim
I have had problems with my engine on my Santa Fe. The cylinder keeps going. I’ve paid out over $3000 to have them replaced the cylinder and finally a new engine, but I’m gonna have the same problems. They told me that this engine was not recalled was not part of the original recall.

Christina
I have exactly the same thing happening

James
Similar issues with Hyundai Elentra power steering system. NHTSA has issues several recall. Almost cost me my life. No dissclosure prior to purchase. Death trap.

Jenny
I bought a 2022 hyundai brand new I was the only owner started having oil problems at 3 years old I had 3 oil consumption test done on my car, it would burn oil like crazy I also had to have 3 cadillc converters because oil was going all over it and the check engine light would come on and they would be bad.. hyundai just had me coming back all the time at 4 years old a quart or 2 of oild a week. And all they would do is another oil consumption test!!! Tell not to pit oil in my car and drive it a 1000 miles and bring it back.. what a nightmare truly a nightmare 😔

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