I have a 1996 E320 and if lately, if I am facing downward on a hill/incline/etc. it will not reverse. I just burn rubber. However, it will reverse if I am on level/flat ground. I have had to get pushed twice out of a parking spot in which I was facing down. Is this a transmission issue? Any insight is welcomed.

 

Sounds as if the front brakes or emergency brake is not releasing. Have you tried going forward a couple of feet before backing up. Have you turned on or off the SRS? Summer/winter transmission button (winter has a different reverse gear in cars with this feature than the summer setting which has a higher speed. Just fishing, never heard of this problem on any car, although rear end is usually lighter and might break traction quicker.

 

In case it is your e-brake, take a look at the link below for the replacement procedure. Please let us know if you have any questions!

Mercedes-Benz W210 Parking Brake Replacement (1996-03) E320, E420 | Pelican Parts DIY Maintenance Article

 

I also have a 1996 E320 with about 146,000 miles on her. Just recenetly, like the last few days the transmission seems to be slipping but only in reverse. It does appear to be getting worse. Has anyone figured out what could be the cause?

 

Apparently this is a common issue with the W210s. Most suggest to first get the car's codes read to see if that turns up anything - others have mentioned that it may have something to do with the rear diff.