The sensor in lyle's M113 engine doesn't use a float, it's entirely electronic and has no moving parts. The sensor is capable of measuring temperature, level, and oil condition. They can give inaccurate readings if they get covered with sludge, or they can just simply fail electrically. I've seen both scenarios many times. It sounds to me like lyle's sensor is on it's way out............

FWIW, the sensor went away along with the M112/113 engines. MB went back to using the simple float-type sensor.