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It is usually caused by a bad brake on/off switch. I have had this problem twice with my 94 Towncar. If you put the ignition to run without starting the car, pushing the brake, you should be able to shift into neutral and start and then go to drive/reverse. Just beware as you have no brake lights either.

Personal Experience and more advice:

I had the same problem with my 99 TC. Turned out to be the brake switch as described in the previous answer. BUT: in the user manual you can find a workaround. I don't have it at hand at the moment but for this specific situation Lincoln included a solution. Has to do with ignition on/off/brake and so on. Worked great for me to get home and fix the brake switch in my own garage instead of the parking place where i was stuck.

Check yuur fuses. I had this problem on a 93 town car and it turned out to be a bad fuse. That fuse I believe also controls the break lights. Check for break light operation and that should confirm.

I have a 1996 Town Car and one of the wires came off the brake pedal switch

the shifter wouldn't shift into any gears and the brake lights didn't work! If this happens, check the wires that go into the brake light switch. They move when the brake pedal moves up & down so they come off, I soldered the broken wire by taking the switch off it is pretty easy to do, it is at the bottom of the brake pedal just a clip holding it in place take it off so you can work on it at a bench you will find that the top of the switch will snap of and you can get to the wire terminals to repair the wire or wires. It takes about 1 hour and no parts to buy just cut the wire and splice it together when you reinstall the switch.

I also had it not start on me it was the crankshaft senser that went bad it under the a/c compressor and it cost $21.00 for a new one. if this goes bad the engine will just turn over but will not fire. You will have to take the a/c compress lose 4 bolts and loosen the belt then you can move the compressor with out removing the lines. Just 1 bolt holding the senser in and the wires plug in. in you have allot of miles on yours it would be a good idea to replace it or just take it out and clean the tip off.

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Q: What do you do if your Lincoln Town Car is stuck in park?
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