2004 H2 4wd issues

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I am having an issue with the 4WD in a 2004 hummer H2. It was checked by a dealer, who finally determined that the transfer case motor was bad. After replacing it, it still seems to have pretty much the same issue, which is, it almost acts like it is stuck in 4HI, especially when cornering. We took it back to the dealer, and, now they are saying that because one tire, the right front, is less than 3/32ds tread, that is why it is still acting that way. Has anyone ever heard of that happening before? I know that having different size tires can cause major issues, but i have never heard of a tire of the same size having low tread and causing issues. Maybe im just missing something here.

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If this is a full-time 4x4 system, it's conceivable...See my comments about friction modifier in your Dakota post.  Use of the wrong fluid in a full-time transfer case or differential can be an issue.  See what the Hummer H2 requires for transfer case and axle lube and any required friction modifiers.


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