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Just because dealers and I don't like each other, I would have my lawyer call their lawyer. I would not expect any compensation, except for the look of angst on the dealers face. A turbo hose "shouldn't" break the head. The dealer should stand by his contract to fix the head and install it correctly the second time, there is no gasket and if the block/new head didn't align perfectly - pop!
Because it is at a dealership now, let the KY dealer talk to your dealer about who should repair the head. The turbo hose is still your problem, sorry. A 1998 T5 is worth about 7-8,000 depending on condition. With out engine or turbo, about 1,500.
Klaus
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98 V70Rawd(101Kmi), 95 854T(85K mi), 88 245(165K mi)
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