HELP! Transfer case overheated? Is the dealership telling me the truth????

[justinbeitler]

Hey all,
Hoping you guys can help me out. I recently took a road trip with my 2004 Landcruiser. After about 200 miles on the road my center console started getting very hot, so I took my car to a nearby dealership. I told them that I had recently had the oil changed in my transfer case as well as both diffs, (and was thinking that perhaps someone didn't put the cap back on the transfer case properly?)
Anyways, they drained the transfer case and what came out was black and was almost as thin as water. Nothing like gear oil. Their opinion was that whoever filled it put the wrong stuff in, and they had no idea what it was. I called my dealership, and they said that they put the right oil in, but the transfer case probably just overheated and burned up the oil...

I've since drove home with no issues and plan to take the car into the dealer tomorrow. Anyways, is it possible that my transfer case would randomly overheat like that (NOT in 4-wheel drive, NOT towing anything, etc.) and burn up the oil? Is it possible that it is completely undamaged (since it sounds like my dealer is already trying to claim that..)?

It just sounds to me like either way I'm working with a dealership who didn't do the job right and probably won't fix it right either.

Can someone tell me what might have happened and what I should do to fix it? ANY information you can provide is MUCH appreciated!!! Happy Easter everyone!!!

[4runnerracer]

Check in your manual if the T-case calls for ATF (or MTF, similar to ATF for manual gearboxes) or gear oil (specify which grade). Gear oil should never come out that thin.