okay I replaced the thermostat and o-ring with original MB parts. I usually order from fastlane but i needed this in a hurry so sorry to the guys who run the site.
The leak is still there. I beleive I have pin pointed it with pictures. I still think it has to do with me replacing the thermostat b/c it didnt leak before that, but my engine did overheat the day the old stat went out so maybe that caused it.
I have attached pics of the problem area, there is a little puddle of water/coolant in the red circles, the last picture shows it best. I see the liquid dripping but its difficult to see from where exactly. Let me know what you guys think.