TIS Service Bulletin

SI B01 21 18
Warranties

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March 2019
Technical Service

N63 ENGINE: OIL CONSUMPTION CLASS ACTION
SETTLEMENT DIAGNOSIS AND REPAIR PROCEDURES
(VERSION 9.0)
New information provided by this revision is preceded by this symbol

.

This Service Information bulletin supersedes SI B01 21 18 dated January 2018
What’s New:
• Instructions for using PuMA are removed
• Instructions to use TSARA and AIR are added
• Cylinder head cover part numbers are removed from the parts section
• 0W-30 engine oil part number was added to the Sublet section
• Warranty Information section updated

INFORMATION
This Service Information bulletin applies to:


Class vehicles in operation on the road (Applicable N63 engine model vehicles); by



Class members (Class Vehicle owners on the date this settlement became effective),

And it provides diagnostic/repairs instructions, as well as, Warranty Information for performed remedies.
Also, please familiarize yourself with other important Service Bulletins pertaining to the N63 Class Action
Settlement:







SI B01 29 18 - N63 Engine Vehicles: Class Action Settlement For Engine Oil Consumption/Battery Drain /
OVERVIEW
SI B01 22 18 - N63 Engine Class Action Settlement: BATTERY SERVICE BENEFIT
SI B01 23 18 - N63 Engine Oil Consumption/Battery Drain Class Action Law Suit Settlement: FUTURE
ENGINE OIL SERVICE BENEFIT
SI B01 28 18 - N63 Engine Repairs: RENTAL CARS for OUT of SERVICE VEHICLES

SITUATION
While engine oil consumption may create a customer inconvenience, in the short term, it should not cause any
drivability problems that would prevent normal day-to-day operational use of the vehicle.
Some Class Vehicles will “pass” the oil consumption test (No repair necessary) even though a “Low Oil
Level” indicator/message” displayed between required engine oil services.

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It is important that the engine oil level stays and is maintained above the minimum (“Low Oil Level”
indicator/message is not displaying).
Refer to the Procedure section for information on diagnosing the oil consumption issue.

PROCEDURE
Engine serial number verification (Included in the engine diagnosis labor operations):
Verify the proper engine serial number is installed in the vehicle before starting any diagnosis or repairs.
.
NOTE: Only vehicles equipped with the original engines (engine serial number matching the serial number in
PuMA), or with BMW Replacement Engine (purchased from BMW PDCs, and replaced under Warranty, or
customer pay) are eligible to participate in this Class Action Settlement.

Engine serial
number is located at
the lower front right
corner of the engine
block.
Engine serial
number (1)
Engine type Number
(2)

Compare the engine serial number to AIR.
Enter the vin number (1) and hit enter.

Select vehicle details there(1)
Engine seral number is shown (2)

If they do not match, then create a TSARA TeileClearing Hotline case with the numbers that are shown
on the engine block and wait for a response before proceeding with repairs.
All engine serial numbers will be verified at the Warranty Part Return Center.
IMPORTANT NOTE:

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Only a Shop Forman is authorized to approve the final results of N63 Class Action diagnosis and repair.
The complete “N63 Oil Consumption Checklist”, or “N63 Smoke” Checklist”, along with the relevant
photographs have to be submitted via a TSARA TeileClearing Hotline case titled “N63 Class_Action.”
IMPORTANT NOTE:
Do not attach pictures which are not relevant, vague, not clear, and which are not providing a clear
evidence/source of an observed major leak. A TC case with an excessive number of poor quality
pictures requires more time to process, resulting in a delayed response.
Please specify in the case details the picture description. Renaming the picture is not necessary
For example:
Front engine cover = X1234.jpg
Turbo inspection = X5678.jpg
The TSARA TeileClearing “N63 Class Action” process has started on November 1st, 2018. Weekend and
holiday submissions are required, and they must wait for a response on the following business day
before starting any repairs.
The AutoStamp submission process has been deactivated as of 11/01/2018.
It is the Shop Forman’s responsibility to provide a complete and accurate diagnosis documentation, as
described below.
Including follow-up/updates to the original TSARA TeileClearing case prior to performing any additional
related work that is found needed during the repair process.
Incomplete, missing, or misleading “N63 Class Settlement” engine diagnosis and repairs will result in
debiting of the Warranty claim.
IMPORTANT NOTE:
The parts stock of the N63 Replacement engine will remain extremely limited until January 2019. In case, an
engine replacement is required as a result of the Class Action Diagnosis, please advise the customer that such
a repair will be performed at a future date, when N63 engines are available. The vehicle’s mileage for
Customer’s Contribution will be taken from the date of final, 5-step diagnosis.
Refer to the section that applies to the vehicle situation.
IMPORTANT: Do not drain and measure the engine oil. Follow the applicable instructions to use the
electronic oil level measurement.
When the customer’s complaint is “smoke from the exhaust system”, proceed to Section 1, Step 1
below. If the customer complains only about frequent engine oil top-offs, go to Step 2.
Section 1 – Visually diagnose the vehicle for smoke from the exhaust tail pipes:
Do not drain and measure the engine oil. Follow the applicable instructions to use the electronic oil level
measurement:
1. Start the vehicle and allow it to reach to reach operating temperature, approximately 15 minutes or less.
Quickly push-and-release the accelerator pedal from idle position to between 2,000 and 3,000 RPM, then
immediately allow the engine to return to idle and observe the exhaust tail pipes for smoke. If the vehicle is
smoking then refer to the following two attachments. If the vehicle is not smoking then proceed to step 2.

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• N63 Smoke Instructions
• N63 Smoke Checklist
Note: Document all results in the “B01_21_18_N63 Smoke Checklist” simultaneously while following the
instructions.
IMPORTANT: Take a picture of a smoke emitted from the exhaust pipes during this test, and attach it to a
TSARA TeileClearing Hotline case.
2. If the vehicles does not exhibit any smoke from the tailpipes then an oil consumption test will need to be
started using the following attachment.
• N63 Oil Consumption Instructions (only perform steps 1 and 2 in this document until the vehicle returns for the
measurement described in section 2)
Section 2 – The vehicle has returned for the oil consumption measurement:
Measure the oil consumption. Refer to the following attachments.


N63 OC Instructions (Resume the procedure at step 3 in this document)



N63 Oil Consumption Checklist

Note: Document all results in the “N63 Oil Consumption Checklist” simultaneously while following the
instructions.
Section 3 – Documenting the results of the visual inspection, failed oil consumption test and or vehicle
inspection steps.
1. The “N63 Oil Consumption Checklist”, or “N63 Smoke Checklist” must be completed and photographed
(both pages side by side in one photo).
2. Capture photos of the failed or leaking components.
3. Document the inspection/test results in a TSARA TeileClearing Hotline case, submit the case and wait for
a response before continuing with repairs.
If the vehicle is not smoking or the vehicle passes the oil consumption test or the vehicle does not
require any repairs then do not enter a TSARA TeileClearing Hotline case.
Calculating Oil Consumption by Milliliters
If the customer has driven much further than recommended then the result of the test plan and the miles driven
can be determined using a calculator. The calculation below will determine the exact oil consumption level of
the engine.
Calculation:
Milliliters of oil consumed ÷ miles driven = X.XXX milliliters (ml) per mile driven
The oil consumption specification of this calculation is 1.333 milliliters (ml) per mile driven.
For example, 1000ml ÷ 750 miles = 1.333 ml per mile, this is the 1 liter per 750 miles specification.
If the result of the calculation is 1.333 per mile and greater then you have to continue with the diagnosis and
address the customer complaint.
If the result of the calculation is less than or equal to 1.332 then the customers complaint does not exceed the

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allowable engine oil consumption specification. Take no further action.
Example:
900ml consumed ÷ 750 miles driven = 1.2 ml per mile – Take no further action and release the vehicle.
Engine Repairs and Replacements:
Replacement engine assemblies are NOT pre-filled with engine oil.
After replacing an engine with a new or remanufactured engine assembly, the engine oil level must be
verified as outlined in the procedure below first, before starting the engine for the first time.
If the replacement engine is started to determine electronically if the engine is filled with the appropriate amount
of engine oil, damage to the replacement engine can occur immediately.
The engine may have some residual engine oil from assembly, but this is not enough engine oil to properly
lubricate the engine to measure the engine oil level electronically when it is started for the first time.
Further, the electronic engine oil measurement is only operational when the engine is running at its full
operating temperature. Checking the engine oil without the engine running at operating temperature will lead to
an incorrect or incomplete measurement.
After replacing the engine or making engine repairs that require the replacement or removal of the engine
bearings, VANOS gears, camshafts, bed plate resealing, engine oil pump, engine oil filter housing, cylinder
head, engine oil cooler or anything that interrupts the engine oil supply circuit of the engine requires a short oil
pump and oil supply circuit priming procedure.
Refer to SIB11 09 15for the detailed bleeding procedure (the time to perform this procedure is included
in the applicable special repair labor operations that are provided in the attachments to this Service
Information bulletin).
After engine repairs or replacement, pay attention to a proper installation of all engine ground
connections. Mark the various ground connections with a small parts tag or colored tape.
In particular, follow the recommendations from SIB12 24 14 (N63: Proper Ignition Harness Installation and
Ground Connections) for the ignition harness grounding. Any consequential damage to DME, alternator, or QLT
sensor resulted from a loose ground (causing BSD communication faults), is not covered under N63 Class
Settlement

PARTS INFORMATION
Based on the results from the inspections and testing select the appropriate parts to repair the vehicle.
Engine replacement only if the vehicle is found smoking or the measured oil consumption is too high
and failing any one of the 5 point checks.
IMPORTANT NOTE:
The parts stock of the N63 Replacement engine will remain extremely limited until April 2019. In case,
an engine replacement is required as a result of the Class Action Diagnosis, please advise the customer
that such a repair will be performed at a future date, when N63 engines are available. The vehicle’s
mileage for Customer’s Contribution will be taken from the date of final, 5-step diagnosis.

Part Number

Description

Quantity

Refer to ETK using the vin number of the vehicle

Remanufactured engine

1

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Valve seal and engine oil separator replacement only if the vehicle is found smoking or the measured
oil consumption is too high and all 5 point checks are found to be good.
.

Part Number

Description

Quantity

11 34 0 054 492

Valve seal repair kit

2

11 15 8 636 540

Oil separators, set (kit with bolts)

1

11 12 7 566 281

Timing chain tensioner cover gasket

2

11 12 8 636 401

High-pressure pump profile gasket

2

11 36 7 564 346

VANOS central screws

4

11 42 7 583 220

Engine oil filter

1

13 53 7 584 315

Injector gasket ring seal

8

13 53 7 564 751

Injector decoupling element

8

Also, if found defective (cracked, leaking), the following crankcase ventilation hoses need to be
replaced:

Part Number

Description

Quantity

11 15 7 575 640

Vent pipe

1

11 15 7 575 641

Vent pipe

1

11 15 7 646 086

Connecting line

1

11 15 7 646 087

Connecting line

1

Also, if found leaking, turbocharger oil return pipes, return cover and gaskets.

Part Number

Description

Quantity

11 65 7 577 016

Oil return cover

1

11 42 8 624 158

Gasket, asbestos free

2

11 42 7 577 010

Oil return pipe, cylinder 1-4

1

11 42 7 577 011

Oil return pipe, cylinder 5-8

1

Turbo replacement only if found leaking.

Part Number

Description

Quantity

11 65 7 646 092

Turbocharger

2

Rear cover and rear crankshaft seal replacement only if found leaking.

Part Number

Description

Quantity

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11 14 2 446 298

Updated, end cover, rear kit

1

Refer to ETK

Cap with rear seal (rear crankshaft seal)

1

Refer to the ETK and the applicable repair instructions for one-time use fasteners and/or component information
regarding additional, in-conjunction parts/kits or replacement screws, gaskets, seals and clamps that need to be
installed and claimed.
All repairs (as needed):
Bulk Materials - Sublet

Part Number

Description

Quantity

83 21 2 466 454
Or
83 21 2 365 950

5W30 BMW Engine Oil 1 liter
Or
0W-30 BMW engine oil 1 liter

Up to 9.6 liters
(E72, F04 8.5)

82 14 1 467 704

Antifreeze

See Sublet
(1 Gallon)

83 29 0 429 576

Hydraulic fluid CHF 11 S (F01, F02, F04, F07)

See Sublet
(up to 1)

1 Gallon Antifreeze = 2 Gallons at a 50/50 mixture solution.

WARRANTY INFORMATION
The engine diagnosis and repair procedures outlined in this bulletin are covered under the terms of this Class
Action Settlement (as noted below) for first 10 years or 120,000 miles, whichever occurs first, as determined by
the original in-service date.
However, in no event less than 1 year or 12,000 miles from the Effective Day of the settlement date
(repair dates up to and including 10/11/2019, coverage is 11 years or 132,000 miles, whichever occurs
first).
Should an eligible Class Member return for another oil consumption-related issue with their Class
Vehicle, qualifying diagnosis and repairs (full or Contribution Matrix as applicable) are covered by the remaining
portion of the coverage period above that applies.
Parts replaced to perform “settlement-related repairs” that fail for “non- oil consumption-related issues”
are cover under the BMW Limited Parts Warranty for 24 month without mileage limitation.
Engine diagnosis:
A. Up to three (3) engine oil consumption (two-part setup/test) diagnosis procedures may be eligible to be
performed or upon verification of blue smoke from the exhaust pipes is reimbursement is at 100%.

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Based on the results of the engine diagnosis, when applicable:
B. Eligible “engine repairs” are reimbursed at 100%.
C. Eligible “complete engine assembly replacements” (including supplemental/in conjunction repairs) are
reimbursed according to the customer contribution percentage matrix.

Engine Assembly
Replacement Customer
Contribution
Percentage Matrix
(Item C)

Odometer Miles*

Customer’s
Contribution

BMW’s Contribution

Up to

50,000

0% (None)

100%

50,001

60,000

5%

95%

60,001

70,000

15%

85%

70,001

80,000

30%

70%

80,001

90,000

45%

55%

90,001

100,000

60%

40%

100,001

110,000

75%

25%

110,001

120,000

90%

10%

120,001

And higher

100%

0% (None)

Applying the Contribution Matrix*
When an eligible vehicle returns to a BMW authorized center for an oil consumption issue and the vehicle’s
engine either:


Fails the oil consumption measure test (part two); or there is



Visible blue smoke from the exhaust pipes; and the



Vehicle’s engine fails the one of the other required inspections (5 point checks); then

Use the vehicle’s “odometer miles” when the above occurred to determine the customer’s contribution. This
documented odometer mileage is to be also used when the qualifying engine replacement is delayed due to
awaiting parts from BMW.
Please ensure to document this information on the repair order and in the claim comments.
BMW Certified Pre-owned (CPO) Vehicles
Qualifying N63 engine “replacements” are covered under the terms of the applicable CPO coverage.
Should the CPO covered component fail again, this component is covered by the remaining portion of
the CPO coverage period.

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