90 Cherokee with an NP231J T-Case. A few months back while I was out wheeling I shearedyhe rear u joint yoke bolts which caused me to drop my driveshaft.I tried to limp it home with a plastic bag around the tailshaft of the T case to prevent fluid loss.

Didn't feel comfortable doing this after a few miles I parked it and trailered it home. So there was some fluid loss...I refilled it by putting the ATF in it until it startrd flowing out the hole, like you would a manual gear box or diff. After a shakedown run I climbed under it and noticed a spray of fluid on the underside of the body where the driveshaft was slinging the fluid.

I drove it a couple of weeks after noticing that with no ill effects. Getting ready for another run I topped the T case off again the same way and went on a run.I've returned to find fresh fluid on the underside of the vehicle again...the seal is brand new...am I just putting too much fluid in it and the stuff on the body is excess being blown out the rear?

What is the correct fluid level on the T case and what's the proper way to check it?

 

You're filling it right. Any nicks on the slip yoke?

 

There arent any noticeable nicks on the slip yoke...wondering if maybe the bushing inside the tail shaft extension housing is worn out allowing play? This tailshaft extension housing is a used replacement as is the slip yoke.

 

That, or the seal got boogered.