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Warranty & aftermarket chips

For the benefit of the list...
	How BMW handles chippped cars under warranty

I took my '93 325is in to have the service dept at the local
dealer check to see if I had any outstanding warranty work. I
bought the car used, off of a lease with 38,000 miles and
the balance of the warranty period coverage. They entered the
VIN, and it came up with "invalid entry". The car was bought
at that dealer, so they entered a search based on the previous
buyer of the car. The records now came up, and as I watched the
screen, it had in asterics and big capitals:

	*** DRIVETRAIN WARRANTY VOIDED, DINAN EEPROM INSTALLED ***

Shocked, I asked what did this mean for me, as a second owner of
the vehicle with this nasty sounding warranty service record?

The service manager explained:

1) This message has flagged the main BMW database, hence the
   vehicle's records via VIN number could not be retrieved.
2) However, since they have local records, that's all they
   need to provide warranty. If in fact I'm at another dealer,
   they would be willing to share the vehicle's records. I
   interpert that as meaning, yes you still have records, but
   it will be a hassle sooner or later.
3) The VOIDING of my whole drivetrain is misleading, as they
   would only void the warranty of the modified assembly, the
   DME in this case. They assured me that any other engine
   or drivetrain problems are still covered.
4) They would remove this VOIDED message, if I would replace
   the chip and bring it back in for verification.
5) The job order further stated that the car was brought in
   for driveability issues for which the tech bulletin called
   for an EEPROM upgrade. When they opened the DME up, they
   found the contraband EEPROM and flagged the computer. 
6) I asked them for a printout of the service history, but
   they refused, based on a strict policy of not allowing
   that information out. They did let me read every line of
   it in exact detail and take notes though.

I haven't had a problem yet, where this has impeded any
warranty coverage. But the lesson here is:

Don't do as my previous owner has done - take your chip out
before going in for warranty work.
If you don't,it's like a bad credit history error - a hassle to get
it reversed.

Terry Lee