Written By: Jessica Anvar Stotz
Legally Reviewed By: Jessica Anvar Stotz

A lawsuit filed earlier this year in 2025 alleges that Hyundai Palisade vehicles were manufactured with defective braking systems, including a faulty ABS (anti-lock braking system) and traction control system.
These problems result in the vehicle being less well equipped to deal with emergency braking when it is needed most. To find out more about this developing lawsuit, continue reading!
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Why Is There a Hyundai Palisade Braking Problems Lawsuit?
Owners of 2023-2025 claim that their vehicles have an issue where the traction control system does not accurately read whether a wheel is turning or locked in position, which in turn impacts the anti-lock braking system and causes it to not apply the brakes effectively.
For the driver, this means that the vehicle may take longer to stop than expected. Especially in an emergency braking situation, where the ABS system is likely to be utilized, it is extremely important that the vehicle functions properly.
When it does not, it puts the lives of the driver and passengers in danger. That danger, and the loss in value associated with driving a defective vehicle, is why the lawsuit was filed in May of 2025.
How Do I Know If My Palisade Is Affected?
The lawsuit states that the issue can arise within weeks of purchasing one of the vehicles in the class action lawsuit, and consumers have been posting complaints since at least February 2023.
If they own a defective vehicle, consumers will notice the ABS system engaging when it should not, especially while driving at slower speeds or while going over uneven terrain.
When an ABS system activates, the brakes will rapidly pulse as the vehicle applies braking power. As consumers have described for the Palisade problem specifically, the ABS will engage when it does not need to. This can startle the driver and even worse, result in a longer overall braking time.
Are There Any Related Recalls or Lawsuits?
Other the lawsuit filed in May 2025, there has been a recall for the 2023 Hyundai Palisade involving the braking system.
That recall was for the brake booster diaphragm becoming misaligned and ultimately causing a loss in power brake assist.
While this problem does not appear connected to the problems with the ABS system, they both impact the brakes and could indicate a pattern of Hyundai Palisade models having faulty braking systems.
The recall for the loss of power brake assist was issued in June 2023, and the National Highway Traffic Safety Administration Recall Campaign Number is 23V415000.
What Are My Legal Options?
As a consumer who owns a vehicle implicated in a class action lawsuit, you have two main options for your remedy: you can either join the class action if eligible to do so, or file your own independent lemon law claim against the manufacturer directly.
Each approach has distinct advantages and disadvantages which are elaborated on below.
When to Join a Class Action
A class action lawsuit is a legal tool that allows a large group of people with similar claims to combine their cases into one unified action against a common defendant, such as a vehicle manufacturer.
In the context of defective vehicles, class actions often arise when a particular make or model is found to have the same defect affecting numerous owners.
Instead of each consumer filing a separate lawsuit, the class action brings all claims together, streamlining the process and making it more practical to challenge a large corporation with extensive legal resources.
Once enough evidence is gathered, a lawsuit is filed naming certain individuals as “class representatives.” These representatives serve as the voice of the entire group, but the legal arguments, negotiations, and trial work are handled by the attorneys for the class.
Potential class members are notified through mail, email, or public postings, and they can choose to participate or opt out if they wish to pursue their own claim instead.
Class action lawsuits can result in various forms of relief, depending on the settlement or court ruling. This may include free or discounted repairs, reimbursement for past repair expenses, extended warranties, partial refunds, or, in some cases, vehicle buybacks.
The compensation is typically shared among the members of the class, and attorney fees are usually paid from the settlement, so participants do not incur out-of-pocket legal costs.
However, because of the complexity of a class action lawsuit, they can take a very long time to resolve. Because the award is also split across the different plaintiffs, the money each person receives may be smaller than if they pursued their own individual claims.
When to File a Lemon Law Claim

A lemon law claim is an individual legal action that allows a consumer to seek a repurchase or a replacement vehicle when their car has a substantial defect that the manufacturer cannot repair within a reasonable number of attempts.
Unlike a class action, which represents the collective interests of many people, a lemon law claim focuses solely on the specific circumstances of one owner or lessee.
This personalized approach often allows for quicker resolutions and potentially greater compensation, since the outcome is not shared among a large group.
The process typically begins when the owner notices a recurring issue that affects the car’s safety, value, or usability.
The vehicle must be taken to an authorized repair facility, and each repair visit should be carefully documented with invoices, work orders, and notes on the exact complaint.
Most state lemon laws require either a certain number of unsuccessful repair attempts or that the vehicle be out of service for a set number of days before a claim can be filed.
Once these requirements are met, the owner can send a formal written demand to the manufacturer requesting a buyback or replacement.
If the manufacturer refuses to cooperate or denies the claim, the next step is to consider filing a lawsuit under the applicable lemon law.
An attorney experienced in this field can handle negotiations, gather evidence, and represent the owner in court or arbitration.
In many states, if the consumer wins, the manufacturer must cover the owner’s attorney fees, meaning there is often no upfront cost to pursue a claim.
Successful lemon law claims can result in the manufacturer repurchasing the defective vehicle for a full refund (minus a reasonable deduction for usage), providing a comparable replacement, and/or reimbursing related incidental expenses like towing or rental cars.
As the prevailing party, the auto manufacturer is also typically responsible to pay for the consumer’s reasonable attorneys fees and costs.
This process empowers consumers to hold automakers accountable and recover fair compensation for a defective vehicle.
Let the Lemon Law Experts Work Toward a Resolution for You!
If your vehicle has a defect that the dealer can’t seem to fix, you may have strong rights under your state’s lemon law.
Don’t let the manufacturer avoid responsibility: contact the Lemon Law Expertsv today to hear about the strength of your case from one of our experienced attorneys.
We’ll review your case, explain your options, and fight to get you the refund, replacement, or compensation you deserve. Fill out a form on our website here or call us at (877) 885-5366 to start your recovery today!
Citations
ClassAction.org, 2023-2025 Hyundai Palisade Vehicles Plagued by Brake Problems, Class Action Suit Claims, ClassAction, https://www.classaction.org/news/2023-2025-hyundai-palisade-vehicles-plagued-by-brake-problems-class-action-suit-claims. Last accessed August 11, 2025.