An overfilled transmission can cause several issues, including:
Foaming of transmission fluid: When the fluid is overfilled, the spinning gears and other components of the transmission can whip the fluid into a foam. This foam can reduce the fluid's ability to carry heat away from the transmission and can also cause aeration of the fluid, which can lead to additional problems.
Transmission fluid leaks: Overfilling the transmission can put additional pressure on the seals and gaskets, leading to leaks.
Reduced transmission performance: An overfilled transmission can also cause the transmission to shift gears harshly or erratically, and can also reduce its overall efficiency.
In general, it's important to follow the manufacturer's recommendations for transmission fluid level to ensure proper operation of the transmission and avoid potential issues.