I think you are onto something here...

Last night, I read your message and went to the hardware store to get some non-oily lubricant for the ignition. I locked my car with the key and while walking into the store, hit the remote lock button. I didn't notice the lights flashing - indicating the immobilizer had functioned.

When I went to pay for the lube, I remembered that my wallet was out in the car. So, when I arrived at the car, the immobilizer red light was blinking!!! Sure enough, the remote works 4.0.

How does an electronic system "forget" the remote, and then subsequently "remember?" It CAN'T be electronic, as electronics don't behave that way. It must be the mechanical part of the ignition interlock.

So far, so good. Thanks. I can't imagine how much Volvo would have charged to track that down.

-Orion