Removing the battery does clear engine codes. It won't clear many others like SRS. As the cars get newer the problems caused by disconnecting the battery can get gruesome.

I had a 2001 E320 brought from a bodyshop 50 miles away because they accidentally turned the key on while the rear door panel (and door airbag) were removed. He thought he would try the battery trick. It didn't help his problem and he lost the initialization of the throttle, the windows, the sun roof, the seats, the steering angle sensor (which set the ESP/BAS lights) and he lost the proper configuration of the D2B optical network. It would have been a real mess if it had been an "S".

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Steve Brotherton
Continental Imports
Gainesville FL
Bosch Master, ASE Master, L1
33 years MB technician