I am going to jump on here too, since I have the exact same problem.
First I would like to thank those that have offered up information here and other threads. I have been on this problem for 3 weeks and have read quite a bit.
THANK YOU!
My current thinking is that the clutch in the transfer case is physically stuck
I have pulled 104 for test purposes and will be running without it till the snow flies. My 02' does not have any locks or engagement of any kind on the front axle, just an open diff. I changed a wheel bearing yesterday and can tell you for certain there is no lock in there. There are holes in the casting where the the vacuum and lever would be but there is no evidence it was ever there. I changed the fluid yesterday and this seemed to improve the situation.
I was looking at the exploded view on google pix and I could not tell if the clutch could be serviced in the vehicle????
I have a leash on a transfer case used I may pick up if the numbers are right. Then I plan to deploy old used car lot tech and dump in a pint of brake fluid and run it till it is loose, though I wont do this without a new case in hand cause it could eat more than corrosion.
any thoughts would be appriciated. I have use of a full service shop on weekends and 12 hrs a day (the 12 I am not already working in it and I need to sleep, I am not 20 any more.)