I have removed the rear subframe and bushings. The exact same thing on the passenger side as on the driver's side. In fact I measured the indentation and it is exactly the same size. The rear differential mount was not broken and none of the other mounts were broken. I have pressure washed the entire subframe and degreased it. I visually inspected all welds and joints for any sign of fatigue, cracking or stress and was unable to find anything wrong. To make absolutely sure I used a jeweler's magifying googles to inspect the entire subframe and it's all clear.

This leads me to believe that my theory of the vehicle being drug by the subframe/trailing arms is the most likely cause of the damage. The flex within the rubber mounts appears to be just enough to allow the pins coming down from the top to dent the top flange of the subframe. I can't see anything that would lead me to believe this was caused by some kind of accident or blunt trauma.

Even though there appears to not be any kind of damage, I'm still glad I removed the subframe. It gave me the opportunity to clean everything and gave me piece of mind. I also believe it will be easier to re-install the trailing arms in the long run. It also makes it easier to replace all the other bushings on the differential mounts. And since the entire differential is out, I'm also going to replace the driveshaft bearing and the CV boots. The boots are not dried out, but they are a bit stiff and I do see some signs of cracking. Nothing is leaking yet so for the few bucks it costs for the boots I'm not going to skimp at this point in the game. Obviously this takes all kinds of special tools too. So my plan is to take it to the European transmission place in town. I'm sure they can do this in no time.

Tomorrow I'll get the hammer out and fix the flanges and paint the subframe. I have the driver's side trailing arm all ready and have completed the bearing replacement. I'll start on the passenger's side trailing arm and replace those bearings and races as well. Once these two trailing arms are done I'll attach them to the subframe and lift her up in place and complete all the brakes and everything else.

I want to thank everyone for their input. It helped me take the extra steps needed to confirm the problem. I think at this point I'm good to go, but I will of course still have Mercedes check eveything once it's ready for the alignment.

Thanks again,
-Tony-