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Out of the box, my new Honda lawnmower with Smartdrive (from Home Depot) self propelled fine. Within one hour of mowing, however, it no longer self propelled and I had to adjust to get wheels to have traction. After 2nd hour, had to adjust again. Now I am the limit of the threaded cable adjustment.

What to do?

DHILD said:

Out of the box, my new Honda lawnmower with Smartdrive (from Home Depot) self propelled fine. Within one hour of mowing, however, it no longer self propelled and I had to adjust to get wheels to have traction. After 2nd hour, had to adjust again. Now I am the limit of the threaded cable adjustment.

What to do?

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If it's an HRX you should have gotten at the least a 5 year warranty, I know they're adding an extra for machines purchased through the end of May, bringing the warranty to 6 years.
You could turn it on it's side and verify the belt is correctly aligned on the pulley. You could also make sure the cable is free of obstruction and not getting binded anywhere.

If all looks good, you could:
a) find the nearest Honda dealer and have it checked out. (this could be a long wait this time of year)
b) return it for refund and then go to a honda dealer for a replacement