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273d transfer case issue

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Hey all. My 07 3500 daully was giving me a slight vibration around 70 mph. I believe i isolated that to the transfer case, as there was slight play on the output shaft. So i removed it and tore it down giving it a good inspection. I replaced all the bearings and seals. Now as I'm reassembling it, I'm thinking i must be off. As i select through the shifter i can see 4wd hi and 4wd low. But at no point is the front output disengaged. That can't be correct. ... it isn't full time. The drive chain should not be engaged constantly ? So..... am i wrong and the chain is constantly under power, or have i missed something ? Thank you for the help. David.
 
The chain will turn whenever the front yoke turns, but it should not turn with the input shaft in two wheel drive.
 
I have just added the free spin hubs to my 08 3500 SRW. The main reason being if the truck was in either four wheel high or low, both axels are locked together. As stated above two wheel high is the only time they are not locked together, although, the front driveshaft will still spin, as the front hubs are not free wheeling.

Gord Fuchs
Northfield Center, Ohio
 
Did your vibration go away? I have a similar vibe after replacing every u-joint. With rear axle off the ground in neutral I detect "some" play in the output spline of the transfer box. Wondering if that's my viber source.
 
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