I am one of Brickboard members that have a great relationship with my dealer.
I would have a good Volvo dealer troubleshoot the problem ASAP.
The most that many dealers charge is one hour's labor. It might be a simple issue.
Many who have had AWD troubles just disconnect the rear driveshaft. Perhaps the Diff as well, maybe a computer reprogramming to avoid trouble lights. However I think that removing the driveshaft is enough.
I happen to own a base '12 XC70 with front wheel drive (a replacement for V70s). It dos however, have the same rear suspension as an AWD car except for a diff and axles.
BTW - This new '12 XC70 only cost me $29,900 less $1000 loyal bonus and $900 of for the first 3 payments (we paid cash).
Regular XC70s were more than $16,000 more.
A new Volvo for less than a used rice burner.
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