Hello! So I have had a steady ATF leak out of of the transmission to transfer case adapter gasket and just pulled the transfer case. Truck is a 6.0 4L80E. Is there supposed to be transmission fluid in the adapter? I thought that the seals on either side would keep the fluid out but there is a tiny hole on the transmission side and not sure what that's about ( I will attach pictures).I read somewhere that the 2wd is a "wet connection" and a 4wd is a "dry connection" but that doesn't make sense to me. Might be a bit of an Idiot though who knows. Also, there was no paper gasket between the adapter and the transfer case, just RTV. My transfer case is pretty corroded and I have a feeling that might be why. Aluminum and Magnesium connection? So if there's not supposed to be fluid in there, will I be ok to put a paper gasket in and run it? Or do I need to replace the front of the case or buy a re-man transfer case? Should I replace the Transmission housing rear output seal and transfer case input seal or should those be alright? Any insight is appreciated. It's always something.

 

i've seen them not have fluid there and have fluid there...but with the proper gasket and a good flange seating area...the ones with fluid don't leak externally.
maybe someone else has knowledge about this...may depend on what tcase you have?