I had the same problem with my '96 328i. It is caused by the brake light switch that sits beneath the brake pedal. Get it replaced at BMW for about $125. The problem goes away.
Definately get a new brake light switch and do the R&R. Had the same problem on my '96 328i. Replaced it myself and saved the labor charge from the BMW dealer. Get in touch with Bavarain Auto Parts. They offer the best prices that I have found to date. Oh yeah, haven't had the problem since going to the new switch. [side note: the BMW tech manual informs that the original mfg was dumped for a new switch mfg. to correct what was found to be crappy manufacturing by the original supplier.]
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