One problem related to cruise control has been reported for the 1998 Subaru Legacy. The most recently reported issues are listed below.
Cruise control was engaged as I was driving on the highway. When I applied the brakes approaching the exit ramp the cruise control did not seem to disengage. While my foot was on the brake pedal, I hit the cruise control switch on the dashboard--the cruise control light went off, however the car did not slow down although I was applying the brakes as hard as possible. I lost control of the vehicle and hit a tree head on at an estimated speed of 40-50mph. Neither driver nor passenger airbag deployed. The vehicle was a total loss. I contacted Subaru of America, inc. After the accident and sent them all information requested on 11/24/98; I have had no response from Subaru to date.