It does appear that the seal is missing. If I remember correctly, it is pretty flush to the case when installed.
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Hello and thank you Eddie.
Life time Jeep nut and Mechanic here.
Most of my life has been with CJ’s and older, but I’ve had a TJ, a few XJ’s and am currently in a ZJ. ( my daughter called it the “capable condominium”, ) we both want to get back into a CJ someday soon.
My family and I...