The jerky shifts may be due tobad flex disks. Check the "bad flex disk" thread.
The hard cold start may be due to leaky injectors flooding the cylinders.
G-Benz is right. Even if you spend lots of money to fix the car, if it gets totaled the insurance carrier won't pay you more than the car's market value.
So that's an important consideration.
You could always part the car. I am sure that there are lots of people here eager to buy W124 parts.
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Current Benzes
1989 300TE "Alice"
1990 300CE "Sam Spade"
1991 300CE "Beowulf" RIP (06.1991 - 10.10.2007)
1998 E320 "Orson"
2002 C320 Wagon "Molly Fox"
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