E46 M3 Differential Problem

My 2002 M3 has had a continuous problem with load moaning when sharp turns are made at slow speeds. There was a service bulletin concerning this problem, and the fluid was replaced with
a different kind. This helped for a while but the problem returned. The differential was then replaced under warantee and was silent for about 5000 miles when the same symptoms came back. Again the fluid was replaced per the service bulletin. This time it had no effect, so the district service rep was contacted and drove the car. At this poing he determined that BMW would NOT again replace the differential.
What are my recourses at this point? I know from experience that contacting BMWNA is fruitless - they tell you to work it out with your dealer. I have the feeling that BMW does not want to put any more money into this car under warantee - I only have 3 more months.
Someone with experience please offer constructive advise - if it means legal action, then please specify against whom. Or is the BMWCCA omnbudsman program usefull in these kinds of disputes?
Thanks, Bob
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if it's the district service rep who told you NO, then who is his boss? also, did he acknowledge the problem, or does he not hear it at all? How can they avoid the issue if it is real? how bad is the problem? is it obvious to everyone in the car or are you very picky? you have the right to be picky with an M3, but do they agrere there is a problem?!
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Bob Smitter wrote:

You are obligated to continue to work with the company. If you don't like the answer you got from that rep, go to the next higher level. There is an conflict resolution procedure that will eventually bring you to either arbitration or court. But if you have not done your "due dilligence" you will get tossed out on your ass.
--
-Fred W

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Fred W wrote:

I was told that BMWs official line was that it's a characteristic of the car and becasue the noise doesn't affect the operation there's nothing they can do. They weren't even willing to change the oil to the newer spec one on mine. Google and you will find details on the figure-of-eight procedure.
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Wow, this sounds alot like the E46 M3 "blown" engine problem. Wait a minute, isn't this the same model?...
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Yes it is the same model. Update: the stealer has offered me $7500 over blue book on a trade. I might just be done and over with this thing.
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