I'd tell the mechanic goodbye and go find another dealership or certified Volvo indy. Keep in mind that any warranty work for which you've sought a diagnosis and/or a remedy before the warranty has expired will still be covered under warranty even after the warranty has expired.

So if you insist on staying with the present dealership, make sure you have documentation of your visits. You might even go to the service manager and demand to file a warranty claim. You want it written up ahead of time. However, it's been noted on this board that there are some dealerships that simply play dumb when it comes to anything beyond routine service interval work and will stall forever in an attempt (often successful) to evade responsibility. I think you've found one of these dealerships. Warn us who it is so we know to stay away.

And tell us where you are - maybe one of us knows somebody reputable in your area and can get you hooked up with a good Volvo tech.
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David
1998 S70 T5SE // misc mods (mostly lighting) // red calipers
1992 940 GLE // Hella Micro DE foglights and 170K