I did forget to mention that I first tried both bleeding from the caliper and the oil can method before pressure bleeding from the top. I am going to try again though this weekend (I have been busy getting the air conditioning running on our '82 300D turbo, so the clutch problem moved down the list). I am searching for a better oil can as mine was a cheapo that leaks under pressure. I will post the results.
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If you pump the clutch like hell, 8 or 10 times quickly, will it work? If so, the problem is an unbled clutch.
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This didn't work for me.
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I know the 4-Spd trans on the 82 & 83 240D weighs 54lbs. Its an all one piece aluminum case. your 77 thru 81 is the two piece, with the iron box and the separate aluminum, Bell Housing. it weighs just a bit more. not all that difficult to DIY at home in the driveway/garage.
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I have been researching doing this myself and my husband is usually willing to help with the heavy lifting part, so maybe....
Shannon