It sounds to me like the original breaker is shot. If you replace the internal breaker I would do it with a modern fast trip breaker designed to trip in milliseconds, not minutes, to protect the engines on the track, and also add a tvs across the track power circuit to stop surge. If not, I would recommend an external breaker, I believe Lionel makes one that is fast tripping, along with a TVS, I have seen adds for various devices like this that may include both breaker and surge suppression. The old post war motors didn't care, I can tell you that from experience, barring a major short in the engine itself causing the armature windings to melt their insulation, having had plenty of shorts that tripped my transformer as a kid, never fried anything, with modern engines with can motors and control boards, not going to be true.
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