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I have recently bought my 3rd xj and this one has an ax15, I know the transfer case is fubar but that shouldn't make the tranny pop out of 5th on the highway. Are am I looking at a new tranny.
Could be as simple as a worn nylon cap on the end of the shifter. Any grinding? Hard shifting? What lube in the AX15? Specs are GL 3, but that is pretty much history. GL 4 and GL 5 are not right for it. You can buy the new Mopar lube, or use 10w30 motor oil. I chose to use Mobil 1 in mine.