Hi, I'm having this problem on my 03 BMW X5 3.0L that is making me scratch my head. The car worked well for years and now I'm getting this Trans Failsafe Prog everytime I first drive the car in the morning. It's giving me an Error 35 which is "Gear Monitoring 3". When this thing happens, I just turn it OFF, take the keys out, put it back, turn the car ON then drives fine! I was reading the forum about these problems and did some suggestions. For starters, I did replace the Transmission Fluid and Filter. It did not fix it so I had my battery checked. It was already failing so I thought that was it. I had it replaced last week. But then again, this problem still persist. Now I'm kind'a lost. The thing that bothers me is, IT ONLY HAPPENS ON MY FIRST START AND DRIVE THE CAR! I felt that is took a little bit longer to shift to 3rd gear. When I turn it OFF, pull the key out, put it back IN, then turn it ON again it drives fine! This could not be a Transmission problem isn't it? Any suggestion is very welcome. Thanks.