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Old 07-01-2018, 12:34 PM   #1
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Atlas II seal leak

The oil level on our Atlas II transfer was noted to be above the marker on the transparent tube. Turned out the seal on the transmission side of the case was leaking and allowing transmission fluid to enter the case thereby causing the overfill indication. (Transmission level was low by the approximate amount added to the Atlas). The replacement seal from Atlas was of the double seal design and the one that was removed was a single seal. I'm guessing that this was a mod improvement. Just wondering if anyone else has had this issue?
2003 7.3 E350 RB 50.

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Old 07-01-2018, 02:13 PM   #2
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You're saying that fluid is leaving the transmission and entering the Xfer case? Never heard of this or see how that is possible.

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Old 07-01-2018, 06:57 PM   #3
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Just left a nice long reply but it got lost in forum land so I'll try a shorter version and hope you understand.

There is an Extension Housing at the rear of the 2x2 transmission where the forward U joint connects. At the rear of that housing is rearmost seal that normally keeps oil forward of the U joint. That housing has to be removed and is replaced by the Atlas adapter that now fits between the tranny and the Atlas case. While probably minimal there is some oil that makes it to the Atlas adapter as it did in the ford extension housing. What that means is if the forward Atlas seal fails oil can leak from the transmission to the Atlas adapter and into the xfer case causing the symptoms I had.

As Atlas as gone to a the double seal usually used to keep oil from going both ways, it most likely has happened to others. Bottom line is my Atlas oil level is steady and there is no longer fluid leaking from that area as before.

Hope that makes sense. If not I'm open to extended education on the matter..

Thanks and have a safe 4th.

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Old 07-01-2018, 09:26 PM   #4
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Darryldickie I believe I have the same problem.
Did you have a shop do the work or by yourself?
If a shop where are they located? I'm in LA, CA.
I have a 2012 V10 E350 4X4 done by SMB.
Please clarify if possible. When SMB ads the 4X4 system, the stock transmission is modified by adding a adapted tail piece to match up to Atlas transfer? If I need a new transmission It is stock unit? Mine is slipping some times, but shifts fine but blew out a bunch of fluid not Shure from seal or vent, happened last weekend.
Thanks in advance for any info.
2012 EB 4X4
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Old 07-01-2018, 09:52 PM   #5
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Good info. I had my share of rear seal leaks but not the front. All the work on mine was done by Valley Hybrids in Stockton, CA which is a small shop that advanced adapters suggested. I had them go through it a few years back. I've had 2 rear seal leaks and they did the last work. So far so good.


You might call them directly for info on shops they trust in your area.

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Old 07-02-2018, 10:15 AM   #6
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Hello Dig255,

Just to clarify, my problem was a leaking seal on the transfer case not the transmission. Sounds like your tranny is the issue. As far as I know the transmission is the standard one that comes with the "uncompleted" van that SMB orders. They remove the extension that is used to connect the original U-joint and put the Atlas adapter in it's place and the transfer case connects to the adapter.

We had a rear end go south and got a re manufactured unit from Jasper per our mechanics recommendation. (You might want to check out Jasper's website before you purchase a rebuilt transmission. Their rebuilds carry a pretty good warranty that is good country wide.) That same mechanic also fixed the Atlas seal issue. We live about 680 miles north of you and I wouldn't recommend you drive that far if your tranny is leaking. If I were you I'd call Dynatrac and ask for shop recommendations in your area. They have always been responsive to my phone inquires in the past. You could go to a Ford dealer but that wouldn't be my first choice.

Best of luck,

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