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The 1996 and 1998 model years are notrious for failed ABS modules. Here are some ideas:
1) if this turns out to be the problem, log onto the NHSTA site (people in charge of recalls and TSBs) and file a report.
2) Part is $416 dealer, $358 internet. You can do the changeout yourself if you're modestly mechanical (3 on a scale of 5). Labor prices vary - dealer will cost you the most.
3) The part might be repairable. A brickboard poster named Vitor (who ought to pay the $50 and advertise) provides this service. Check out Vitor's Volvo ABS repair website.
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 David 1998 S70 T5SE // misc mods (mostly lighting) // red calipers 1992 940 GLE // Hella Micro DE foglights and 170K miles
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