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leaking from rear output shaft

Just because the seal fits "tight," doesn't mean it seals anymore. The seal depends upon a clean wiping edge - if it gets contaminated or dulled, it won't wipe so good anymore.

I'm going to go by your moniker and guess you've got an 87, which probably makes you about due for a new rear output seal anyhow. It's not a difficult job - probably an hour's work tops if you're good, two hours if you aren't but have tools and a manual. The seal can be pulled just by pulling the driveshaft and going after it with a seal tool.

While you have the driveshaft out, check the slip yoke for any sign of grooving - you can measure it if you have a caliper, or just run the edge of your thumbnail from end to end in a few places and see if you feel a "hitch" anywhere that would indicate a groove... Rubber seals can groove a steel if they get contaminated with dust or grit - especially if they're wet with oil or something...

5-90
 
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