Don't despair MHV. The RMS on my last car (1996 850) went out at 55k and I had it repaired at my local dealer. $1200 later all was well. As far as I know the replcement seal is wider than the original and should do fine for years to come. Try to find the cause of the seal failure such as crank case pressure problem.
Put it down to the joys of running one of these cars and move on (to the next repair!)
I now run a 1998 S70/T-5, looks great, drives great at 80k miles. Nearly $3k in repairs in the last year (evaporator, ABS, ignition switch, brakes, etc...), but it's still cheap motoring. ('Think my heater core is next to go...!)
Reading B. Board has helped me to set the right expectations about these cars. Properly maintained any good Volvo should run for as many years as you or I want them to.
C.
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