well like many jimmy's my service 4x4 light came on and code 323 transfer case lock circuit low came up, i'm pretty sure it's not the encoder moter, but im not to sure what this would be, possibly the switch on the transfer case?

 

This is a problem with the encoder motor lock solenoid which is located in the encoder motor.

C0323 - Transfer Case Lock Circuit Low

 

hmm well I was wrong, thanks for the info, looks like i'll be replacing the encoder motor after all

 

If you have not done so already, I would disconnect all of the electrical connections and inspect for corrosion. Corrosion can cause many weird problems.

 

good idea, thanks for your help