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Instead of wasting money (and time) to sue Toyota, why not spend it fixing your 4th gear synchro instead?
I am sure you can have it repaired for a lot less than $10K.
Also, the definition in the warranty/insurance booklets goes along the lines of:
"was being used for competitions or off-road activity"
Therefore all events at a track fall into that category even if it wasn't "racing"
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