The brake lining light on my 124 just started flickering, seemingly independent of whether the brake pedal is being pushed or not.
Seen it. Take off the wheel and have a gander at the little wire sensor that's pushed into the brake pad, and the routing of its wire too. Rotors can cut in to them, etc. The wire probe itself needs to be insulated, and that could also be damaged, especially if you have metallic pads. -- Jim