I figured it out...It is the door pin which sticks out from the machine at around the 2 o'clock position---it was sheared off by heavy wet clothes dragged across it. I just formed a paperclip into a 1 cm "U" and wedged the top of the "U" into the hole so it pushed down the pin remnants. Then I taped it "pushed in" permanently. The machine won't work anyways until it "senses" and locks a closed door at the latch itself. So no safety issues there.
The biggest problem is that you don't recognize the broken pin as it is sheared, and looks like a little black grommet. And it is a six inches away from what you'd obviously check...the door lock mechanism.

This is a VERY common problem for Whirlpool Duets and Kenmore HE3's. Dumb design.

Check related post which helped me at,

http://applianceblog.com...um_id=2&jump_to=4559

Smart, gotta try that. I replaced the paperclip with a thin plastic wedge that I cut and pushed in till stuck. I'll try the screw if mine doesn't hold up, it's been a couple weeks and fine so far.
You gotta wonder how this simple problem to fix for free, has cost others fortunes.