Ok. I've learned something today.

This is my first experience having dealt with what is known as many different names:
- Retaining clip
- Snap ring
- Circlip
- Retaining ring
... ALL OF WHICH REFER TO THE SAME EXACT THING. It is a C-Shaped ring that goes around most things "cylindrical" usually to hold something in place around a shaft of some sort. In this case the shaft is the piston in the brake calipers. Here at this link:
Click here to see it. you will see how to rebuild a brake caliper for an M100 (which from my internet searching could be a Lotus or a Mercury; lol) and basically it is likely the same for nearly all brake calipers. The link speaks of and shows what the snap ring is for and I was right. It is there to hold the rubber boot at the end of the piston face that touches the brake pad in order to block dust/particles from getting inbetween the piston and the rubber boot which essentially is what eventually dirties your brake fluid. This is my first time noticing such a thing and if all brake setups don't have this then IMHO they all should in EVERY vehicle using brakes.
*
SOOOO SERIOUS: IF YOU DO NOT HAVE A SNAP RING TOOL AND YOU NEED TO REMOVE AND REINSTALL A SNAP RING YOU BETTER DAMN WELL GET YOURSELF A SNAP RING TOOL. THE MAJOR KNOWN AUTO STORES SELL THEM FAIRLY CHEAP. HAVING THIS TOOL WILL SAVE YOU HOURS OF FRUSTRATION, BECAUSE I CAN TELL YOU FIRST HAND THESE LITTLE BITCHES ARE NOT COMING OFF WITH NO NEEDLE NOSE PLIERS OR ANYTHING ELSE AND IF THEY DO THEY COME OFF WITHOUT THE SNAP RING TOOL YOU SURELY WILL DAMAGE STUFF IN THE PROCESS... AND THEN YOU ARE LEFT WITH HOW TO GET IT BACK ON WITHOUT SCREWING UP THE CLIP FURTHER. GET THE SNAP RING TOOL ! TRUST ME.*
This makes me very happy. Now I can move on. I don't like starting other projects until the other ones I've started are done hence my personal dilemma. LOL