The airbag (SRS) light on an E36 stays on because the module has logged a fault and disabled the system until it's read and cleared — and it won't reset by pulling a fuse or disconnecting the battery (that just adds a "power interruption" code).
The most common E36 triggers are the connectors under the front seats — the seat-occupancy or seatbelt-tensioner plugs work loose or corrode, which is exactly why the light so often comes on righ
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