The Overheat light will be illuminated assosciated with a full Fire warning. Look at the QRH drill, it states some way down to rotate the fire warning switch if the SWITCH or the ENG OVERHEAT light remains illuminated.
As for the Captain being between a rock and a hard place re MENEN, not so. If the Captain decides to STOP before V1 then all performance criteria will be met if the actions are completed as per training. Boeing do not RECOMMEND stopping for a Master Caution alone, even if it is an Eng Overheat. Unless a catastrophic event occurs, ie more than just a Matster Caution, it is far better to continue the takeoff (even an Eng Overheat becoming a Fire at V1) and resolve the situation in the air, AS YOU HAVE BEEN TRAINED TO DO. The reason? TIME. Simply TIME. Now you can think, assess and deal with the problem. As soon as you try to hurry things all hell breaks lose, training falls apart and people are hurt.
LEM, are you in the middle of a type conversion ?
