ulremember

Hello to all
My current situation is really baffling.
My son has a 94 Accord with the V-Tec engine, when it is cold, it idles and runs perfectly.
When the car warms up, and the transmission is placed in reverse or drive, there is the initial engagement, then there is an additional lunge ( kinda like the converter is locking up and creating a heavy load on the engine) and the car starts the "hunting for correct idle".
My son took the car to a service person to have it diagnosed. The report was the tranny is failing.
Now, is there a solenoid that can be creating this problem?
I have the Dealer service manual and I do not know where to begin to look for troubleshooting.
Any ideas or suggestions are greatly appreciated
Blessings
Oh yeah, if the selector is placed in Low, the car lunges and dies almost immediately!