View Full Version : BMW Warranty Issues - Leaking Trans

09-29-2007, 12:02 PM
I purchased a used 2007 328XI from a BMW dealer in a different city than I live. The car recently developed an transmission leak. I took it in for warranty work (at Edmonton BMW) and they told me it is leaking in three places (pan, where wire probes enter, frost plug). I was told work had been done on the car and they would not cover it. I said the car is almost new with two registered owners (other BMW dealership and myself). Only work would have been performed by BMW. BMW records show no work was ever done. They still refuse to do the warranty. They told me they can tell when the pan was dropped by the screws. Even in the highly unlikely event that someone did work on the pan (1) it would have been by BMW and (2) how come the other leaks are not covered.

This does not make sense to me as to why this car would not be covered under warranty - its crazy. By the way, Edmonton BMW says they have to replace the entire transmission because the "frost plug" is not a part available from BMW - it will cost me $14,000.

I was wondering if any others have had leaking transmissions in 2007 328XI (Automatic Trans)? Also has anyone ever heard about the frost plug leaking? Or anyone have experiences with warranty being denied?


09-29-2007, 01:28 PM
Did you buy it from the dealer?
take it to the dealership where it was originally purchased.

09-29-2007, 02:18 PM
I wish it was simple - the dealer is 2500 km away.

09-29-2007, 04:21 PM
call that dealer, ask them if they serviced it.

09-29-2007, 05:17 PM
WTF $14000... I would hurt someone..
Isn't there more than one Bmw dealer in Edmonton?

09-29-2007, 05:37 PM
contact BMW Canada. Take it up with them. or try another dealer.

09-29-2007, 09:57 PM
Thanks for the advice, but I have tried all those avenues. I have attempted to work with BMW Canada for the last two weeks - they were terrible to deal with. They never returned my calls during the two weeks. The only time I would get an update is if I was lucky enough to have the rep I was dealing with pick up the phone. She kept apologizing for the delay, she told me the Edmonton BMW dealer was not getting back to her. She also discussed this with original BMW dealership who say work was never done.

To BMW Canada, the issue is closed. She told me not to bother going to another dealership as it has been marked on the cars record not to service it. I could go to the other dealership but I am sure after they consult the records I will get the same story. I doubt I will get an unbiased answer.

I did go under the car today and removed the plastic guard so I could take a look. I took pictures, if anyone is interested I can try and post them.

In regards to the three leaks:
1) Leak 1 - bottom gasket. I bolts are not painted so I think it is difficult to tell if they have been tampered with. There does appear to be some sort of markings on them, but I cannot tell if they were undone. Definitely not all the bolts are marked. I also cannot feel any marks (they are smooth). The bolts go all the way through and it does not appear the top threads have any wear. I might believe that someone tried to tighten them. From what I can see, I cannot tell if they came from the factory like that.

One thing I noticed is there does NOT appear to ANY wear on the drain plug. If someone took off the bottom pan, they would have drained the oil. I dont think that happened.

2) Leak 2 - Wires going into trans. This connection is high up into the transmission. It is so high up, you cannot touch it with your fingers. The transmission would have to be dropped to tamper with it. The transmission was never dropped. There is no doubt that the large screws that hold the transmission in place have ever been touched.

3) Leak 3 - Frost Plug. I can clearly see the frost plug and can clearly see that it is in crooked. I can barely touch it with my fingers. It is impossible to manipulate it without dropping the transmission.

Even if someone did do anything with that transmission pan, it looks like the most was to tighten it. They would have only tightened it if it was leaking already. It certainly does not look like the pan was ever dropped. The other two leaks seem to be factory defects that have nothing to do weather the pan was touched or not.

I will see if I can get a second opinon from a certified BMW mechanic that does not work at either of the two dealerships in Edmonton.

10-01-2007, 02:11 AM
This sounds like an awfully wierd situation given that you purchased the car from a BMW dealership. I would expect that if I'm paying the dealership premium and there's factory warranty on the car, they have to honor it. I'm curious to how this will be resolved. Good luck!

10-01-2007, 10:01 AM
What dealership did you buy this at? How many km on the car? A BMW still under warranty can be serviced at any dealership in North America. Did you buy this car in the US or something? Why would they say your car is flagged and not going to be fixed? Did you do something to void your warranty?

10-01-2007, 01:46 PM
Contact that Silverman guy on Citytv.

10-01-2007, 07:54 PM
can you post some pics, ive never heard of e90's leaking that badly, ive repaired similar problems that you are having because some of the 07 e90's leak from the rear main seal pretty bad maybe thats your problem. pics would be great!

10-01-2007, 11:59 PM
Thanks for the responses. I will try and answer all the questions.

Simby: Thanks for the comments. I specifically purchased from a BMW dealership knowing that I would be paying a little premium, but thought I would be ensuring no significant issues (including warranty).

e30bim: I think you hit the nail on the head although this should not be an issue. The car was purchased from Barrington BMW in Chicago. The car had 8000km when I bought it. I have original bill of sale showing Barrington BMW purchased directly from BMW Germany. I am not sure if the car was a demo or leased, but no other registered owners expect them and myself. I contacted BMW Canada before purchasing the car and was confirmed that warranty would not be a problem. I paid my $500 to BMW for the Recall Letter (even though I had a letter from US). I figured it was a small price to pay to stay on side with BMW Canada.

I cannot prove this, but the only thing that makes sense to me is Edmonton BMW is pissed that I went to the US and bought the car. Now they are looking for anything to punish me. BMW Canada is happy to go along because they do not have to pay for a new transmission. Edmonton BMW wins because if the word gets out that buying a BMW in the US is a problem and warranty may not be covered, they sell more cars at the crazy Canadian Rates. Like I said, I will likely never be able to prove this, but I think I can prove that their story contains no merit.

qimis: I have never heard of Silverman. Is he from the East?

Euro E30: I took a number of pictures and video on the weekend. I have not yet looked at them to see how they turned out. If youve seen the transmission, you know it is a very tight fit for everything. I took the pictures with the car only raised 1' off the ground. You would also know that the frost plug and wiring harness is impossible to get to. If they are leaking they would have to been factory issues. Would you have any other explanation with what you have seen?

I will try and download the pictures tomorrow.


10-02-2007, 09:12 AM
BMW Canada will not warranty any BMW purchased in the USA if you live in Canada.
You have to take the car back to USA for warranty service.

However if you live in the USA and are on a trip and your vehicle broke down BMW Canada will fix the car under their warranty.

10-02-2007, 09:51 AM
Well it's not fair you would have to drive all that way to get it serviced. Write BMW North America in NJ and explain to them your situation. Say you fell in love with the car at first sight and bought it. I have followed all the rules set, ask how you are any different than someone who had something break on a road trip under warranty. Ask if they value you as a customer, and what they are going to do to appease you and keep you from purchasing another brand when you're done with this car. Edmonton BMW should not care where you bought the car. If BMW Canada (which essentially reports to BMW NA) gives the green light for warranty, then Edmonton BMW gets a reimbursement cheque from them for doing the work. They should be on your side, tough luck they didn't sell you the car, at least they should see you as a new customer in terms of servicing your car there, they should try and build a positive relationship with you so you consider buying your next BMW from them. It is possible you would pay a few grand more knowing the preferred service you would get. I'm sure any one of them there at the dealership faced with purchasing any product being 8-9k cheaper stateside would do the same thing. The car companies are trying to scare people so they can continue to sell cars with a tub of vaseline in canada.

10-02-2007, 10:24 PM
BMW Canada will not warranty any BMW purchased in the USA if you live in Canada.
You have to take the car back to USA for warranty service.

However if you live in the USA and are on a trip and your vehicle broke down BMW Canada will fix the car under their warranty.

I almost wish that I did not have warranty, but I do. Warranty is 100% tranferrable across the border. In fact I just recieved my BMW Service Card on Friday. It states I have warranty until Dec 18, 2010.

On friday, I recieved the warranty card and personal welcome letter from Lindsay Duffield (CEO BMW Canada). This is the same day I was told by BMW Canada that they were not going to honor the warranty on the transmission - how ironic.

10-02-2007, 10:32 PM
The car companies are trying to scare people so they can continue to sell cars with a tub of vaseline in canada.

Ouch - good quote and you are exactly right. The only thing that makes sense to me is Edmonton BMW is pissed because I did not buy locally. They punish me - it put the word out - maybe the next guy does not want to put up with the hassles. BMW Canada has no big interest in protecting me. Take the word of the dealer and it costs them nothing - help the customer and it costs $14,000.

There is a lot of confusion regarding purchasing car in US. It is very easy and you save a ton of money. This is not good for business here. Instead of being proactive and fixing the pricing situation, I guess its easier to screw the odd customer use scare tactics.


10-03-2007, 01:15 PM
BMW Canada will not warranty any BMW purchased in the USA if you live in Canada.
You have to take the car back to USA for warranty service.

However if you live in the USA and are on a trip and your vehicle broke down BMW Canada will fix the car under their warranty.

I thought BMW warranty covered NA but only Porsche warranty did not cover your car if you bought it in the US and brought it back to Canada?

12-22-2007, 01:16 AM
It has been a couple of months since I last posted. I thought I would update on my pain with dealing with BMW.

My last update I stated that all was well and after meeting with Norm (Service Manager at Edmonton BMW), they would cover the repairs to the transmission. That was Oct 4th. At the time I was told the parts were in as a result of the original service.

The first available appointment was Oct 18th. On the day before, I was told some of the required parts were not in yet (I thought parts were in on the 4th). The next appointment was set for Nov 7th.

On the 7th, I dropped off the car. I was in for the day when I was told to come and pick it up - but unfortunately they were unable to work on it because they did not order one of the required parts. The next appointment was scheduled for Dec 11th.

I dropped off the car and was surprised when I was told the car was fixed an to come and pick it up. When I picked it up I was presented a bill for $750.00. I told them I had an agreement with Norm that the work was going to be covered. She left and came back a few minutes later stating she had no knowledge of this agreement and Norm was gone. I would have to leave my CC# to take the car. She was not going to enter the transaction until she discussed with Norm.

I never did hear back from Edmonton BMW. Three days later I had an invoice on my visa for $750.00. I have not yet been able to contact Norm. I am sure he is going to say he never agreed to cover the work. Obviously I should have gotten something in writing.

Edmonton BMW has been incompetent and untrustworthy. BMW has been ignorant and useless. I cannot see how they can stay in business.

I noticed three days after getting the car back the oil light came on to add one quart - coincidence???

12-22-2007, 04:40 AM
Call your credit card company and tell them that the $750.00 transaction was not approved by you.

12-22-2007, 10:34 AM
That's right. You didn't approve the purchase and they would have to credit you back. Did you sign the credit card slip?