I have a 92 325i, and just yestarday the car alarm decided to act up. Only problem is, I bought the car like this, and I DON'T know the CODE. Is there a way to reinstate a whole new code? Or can I somehow get the code from BMW?

you can get it from bmw. they will ask for your vin and registration .

E36's didn't have a factory alearm system, only a Dealer installed 'Alpine' unit [which has no 'code', only the key fob pads]. Are you refering to your radio or OBC displaying "CODE" ??. If it's the radio, you'll need to pull it away from the dash a record it's serial #, if it's the OBC, you'll need to leave the ignition switch in position #1 for 1 hour then cancell the 'CODE' function by pressing the 'date/time' button.