@nzv8fugaman This sounds exactly like what I was experiencing with the P1757 OBDII code in my '06 M35X. What the transmission is doing is going into limp mode, and keeping it in 3rd gear (maybe 4th). When you shut the car off, it seems to reset, and takes you back to 1st gear, until you go fast enough to get into 3rd/4th gear, then it goes back into limp mode. You should be getting some type of Check Engine Light that accompanies the problem, as well.
In terms of repair, this video is the ultimate repair guide, if you are up for it...I followed it, exactly, and worked like a charm!
https://www.youtube.com/watch?v=GAveITCubOQ