I checked out the specs and they were less than clear about the motion processing. I find that often it's best turned off. A review noted "Good motion interpolation" so that tells me it has such.
On a game console you disable that to reduce lag from console to screen.
I'd turn it off and then consider the following article. http://bgr.com/2013/11/20/lg-smart-tv-spying/
Bob
Hi there, I recently purchased a 60" LED smart tv (60LA740v) after setting it up I noticed when watching tv when ever there was a sudden/fast movement there was a jumpy kind of lag to the picture.. Also have the same problem even on blu ray. I watched a bike film and the bikes would blur and look all jumpy. Scenery didn't look bad but just around the biker. Animated blu ray films look very crisp though and have next to no lag or blur and the ps4 picture is perfect.. No lag or anything! I phoned LG and she told me I may have a faulty unit. Is anyone else having these problems or know how I can fix it? It's a shame because I can't enjoy watching blu rays anymore!

Chowhound
Comic Vine
GameFAQs
GameSpot
Giant Bomb
TechRepublic