Two separate but related thoughts..
1. I bet you had the same AT hose failure I did. Last week, about an hour after an oil change at the local dealer (I get 3 free changes a year ! <img src="/forums/images/graemlins/cheers.gif" alt="" />) I could smell a bad rubber burning smell. I had a dig around in the engine bay and found the AT cooler return hose was pushed up and rubbing on the lower pulley. It had burned through the protective jacket and had started on the hose. Lucky I caught it so early. The mounting bracket for the two hard lines from the AT was bent, my guess is someone had a fight with the oil filter during the oil change and knocked it ? I had a debate with the manager but got nowhere. $8 hose, so I will just replace it myself sometime soon.
2. Uncanny, but I also have had the P0770 code come on 10+ times over the past year or so. I clear it, runs fine for 1-2 months, then pops back. Lock-up is definitely happening at the correct 47-50mph, so I have not been concerned with it.
My best guess is that the ECU is getting screwed around by the wildly fluctuating speed readout from the crappy speedo cable? I can get the code to throw very easily if I hover between 40-50 mph and gas it a few times. I notice the speedo is bouncing some 5+ mph. I'll bet the ECU gets confused when it sees some speed 'spikes' above 50mph, but the lock-up has not engaged, therefore throws a code.
You mentioned yours is NOT locking up ? therefore it might not be the same, but worth the thought before you spend $3500 !
![[Linked Image]](http://www.charlietyrrell.com/hose damage.jpg)