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It is and it isn't a known problem. I took my tC to the dealer after like the 3rd/4th time it sounded like it was grinding from 1st to 2nd early in the morning. Luckily, they reproduced the problem right away, and just ordered a new transmission. I love how they won't even trouble shoot it, they just order a new one.

Whatever. <3 the warranty.
 
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