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Stuck in 4x4

I have a 1999 f250 superduty v10. The transfer case appears to be stuck In 4x4 the solenoid clicks when I move the on dash switch but the drive shaft remains locked. I believe the 4x4 light comes on the dash. The second issue is the truck even with the transfer case locked in 4x4 doesn't have four wheel drive. I believe the needle bearing and axle seal on the passenger side are shot, im not sure if that would cause no 4x4. Any input or suggestions would be great! Thanks!


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