The pan was very obviously visibly warped. I've read that hammering these pans flat is very common when previous owners and techs over tightened and warped them. That most certainly did not do any more damage to the pan then was already done. I hammered from the top of the pan facing donwards on a smooth flat piece of wood to get the mating surfaces close to flat again.

Just took a look at the gasket situation again on the drain pan, and the gasket appears to be bulging out in a couple of places. The same thing happened to the old cork gasket as well.

 

Replace the pan. If it doesn't come with a good quality gasket, get one.

 

Was thinking of getting this one: Dorman 265-839.

One question about it and other aftermarket pans. I don't see the dimple in the metal for where the magnet sits in the drain pan (the factory drain pan has a dimple for the magnet). Do you just set the magnet on any flat surface in the pan?

 

That should work just fine. I would think even dorman couldn't screw up a steel stamping....... (yeah, I don't have a lotta faith in the quality of their parts.....)

 

Yeah, just add the magnet, dimple or not. I actually added extra magnets to my OEM pan, but I also drilled it and added a drain plug. Pretty sure the Dorman will be a thinner material, so go slow and alternate, tightening each bolt gradually and repeatedly. Also, that pan may increase fluid capacity, so don't just add standard amt of fluid and assume you're full. Check the dipstick.

Having a drain plug will be a huge plus. Consider it an upgrade.