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Old 7th April 2005, 20:59   #1
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BMW Agreed to Out-of-Warranty Engine Repair

I posted this thread about a seized bearing after ~56K miles. At the time of my last post, I was waiting for BMW decide whether it would provide goodwill support outside of the standard warranty (without an extended warranty).

To update the situation:

BMW authorized the dealership to disassemble the engine to inspect it for damage. My SA said that the fact BMWNA authorized the out-of-warranty work without the dealership first having to seek my approval of a cost estimate generally means BMWNA intends to pay for a substantial part of the repairs.

Based on the inspection, the dealership advised BMWNA that the bearing on the number 8 cylinder had "seized." (Initial indications were that it was just loose.) After a great deal of back and forth with BMWNA, the service manager informed me that BMWNA was going to repair or replace the engine -- on the condition that I make a contribution to the costs.

As discussed in my prior thread, it is typical for manufacturers to expect the owner to bear the cost determined by the ratio of the mileage over 100K miles. Using that formula, my contribution would have been 56%.

Instead, my contribution is supposed to be limited to $1,500. This could be attributable to several factors: my personal brand and dealer loyalty; the service history of this particular car (i.e., I am religious about regular service visits); no evidence of abuse of the vehicle; my demonstrated knowledge of the similar situation on the M3s; remaining pleasant and patient; etc.

The estimate for the total cost has not yet been determined. It's been 3 weeks, and the dealership has not yet started "repairs." The dealerships service team is continuing to work with BMW engineers to diagnose the problem and determine the scope of repairs that BMWNA determines are necessary.

The scope of repairs would either be the complete replacement of the engine or the replacement of all parts that could have been damaged by the bearing seizing. According to my SA, BMWNA normally recommends replacing the engine once the costs of repair are ~75% of the cost of a new engine.

If BMWNA decides to replace the engine, I would pay ~6.5% of the ~$23,000 costs. That allocation seems very fair to me.

As of last week, BMWNA was leaning towards replacing only the rotating assembly, flywheel and oil pump. The SA estimated that would cost ~$15,000. I would pay 10%. That allocation seems fair to me. The issue is whether that solves the entire problem, or whether some further hidden damage may be lurking.

I was at the dealership yesterday and walked into the Service Manager's office while his senior staff was discussing my car with an engineer from BMW who was present on site. (I was pretty impressed.) The engineer was recommending that the dealership do further inspection under the valve covers to determine whether any particulate matter from seized bearing might have contaminated the top part of the engine. His recommendation was to replace the engine if they find any evidence of contamination.

No further word today. I have a 325 loaner car from the dealership as of yesterday.

So far, I'm pleased with how the dealership went to bat for me and with BMWNA's response to the situation. I think they are doing the right thing from a customer relations and business standpoint. Makes me feel better about being #2 on the M6 list.
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Old 7th April 2005, 21:02   #2
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Re: BMW Agreed to Out-of-Warranty Engine Repair

Great work BMW! Also greeat work by you remaining calm and factual.
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Old 7th April 2005, 21:03   #3
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Re: BMW Agreed to Out-of-Warranty Engine Repair

Very nice indeed! It seems like everything is being handled as it should be.

Cheers, Daniel.
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Old 7th April 2005, 21:04   #4
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Re: BMW Agreed to Out-of-Warranty Engine Repair

Sounding good so far
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Old 7th April 2005, 21:04   #5
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Re: BMW Agreed to Out-of-Warranty Engine Repair

Agreed. Its good to see that you were able to work amicably with the dealer and BMWNA to get the issue resolved in a professional manner and that BMWNA is willing to step up to the plate when their top of the line product has an issue.
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Old 7th April 2005, 21:09   #6
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Re: BMW Agreed to Out-of-Warranty Engine Repair

Congratulations. I'm impressed with how your dealer and BMWNA handled the situation.
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Old 7th April 2005, 21:18   #7
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Re: BMW Agreed to Out-of-Warranty Engine Repair

Good work! BMW stood by me when my '83 528e went bad at 54K and man was I happy they did! I paid a similar amount (labor) to replace the engine. My guess is you would be hard pressed to find anther manufacturer that helps in this fashion! This is why I just bought my extended warranty for original owners. Too nerve racking for me.
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Old 7th April 2005, 21:42   #8
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Re: BMW Agreed to Out-of-Warranty Engine Repair

You've got a good dealership on your hands and BMW seems to be pretty accomodating. I wish they were in my brake claim. Oh well. Good luck.
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Old 7th April 2005, 21:49   #9
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Re: BMW Agreed to Out-of-Warranty Engine Repair

Very glad it all worked out.Now when you get your new motor please sell me your car.
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Old 7th April 2005, 21:55   #10
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Re: BMW Agreed to Out-of-Warranty Engine Repair

Jim,

If it was me, I wouldn't risk the contamination issue. The bearing did not just instantly fail, so the chances that contaminated oil was circulated through the motor are very high in my opinion. If this was a Pinto motor, sure, partial rebuild the bad parts and see what happens. With an S62 -- no way. Again, my opinion. I also don't believe that a simple visual examination is sufficient to competently say what, if any, contamination is present AND whether or not it was sufficient to cause additional wear/problem(s). If the oil residue was sampled and evaluated, that will answer the contamination issue (Blackstone labs could probably eval a small sample of oil from the head area). The really dark area is what level of "contamination" is sufficient to cause an issue since the big unknown will be the time such contamination was present -- unfortunately, there won’t ever be an answer to this question. Only a tear down/measurement/competent inspection of the rest of the motor will fully answer this question (again, all my opinion of course!).

Net result -- get a new motor or else get a written and complete warranty from BMW for the repaired motor.

I'm glad to see your case is moving along reasonably well; however, I can imagine you have beast withdrawal setting in a big way too.

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