Are you still running ATF in the transfercase or have you switched over to motor oil already?

Are you only having problems with pump rub or something else?

Just the rub issue it has a couple pin holes showing up and I think it has atf in it

When you get that repaired, look into using motor oil instead of the atf. 3 quarts of 20-30w oil is supposed to be the ticket.

Atf supposedly has a lower boiling point and slowly boils off and with the low 2 quart initial fill this leads to inadequate lubrication of the internal parts. It has also been debated as the reason the pump rub prolproblem exists