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Automotive Monomaniac
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I've heard of engine failures in E36 M3's - usually due to driver error (shifting into the wrong gear at speed does it).

I haven't heard any confirmed flaw with the E46 M3 engine, so I doubt there is a serious mechanical problem.

Even if there is an issue, the car is under warranty and a new engine is just a few 'dealer days' away...
 
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