There is no requisite position for the badge. On my 300E I placed it on the passenger side upper-left to conceal a ding in the plastic, and on my 500SEL placed it on the passenger side middle to conceal a ding in the aluminum.

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1996 SL320 97K miles
1996 C220 130k miles
1992 500SEL 170k miles <---sold
1986 300E 216k miles <---sold