How to tow your 40, 55 or 60 Series Land Cruiser
Can I flat tow my Land Cruiser by putting the transfer case in neutral?
The answer is no. The transfer case gears are splash lubricated. The turning of the gears causes the oil to be splashed around the inside of the transfer case lubricating the gears and shafts. With the transfer case in neutral, only the output shaft turns, drying out the gear bushings in short order and burning them out. Always leave your transmission in neutral but your transfer case in 2 wheel High. You will also want to unlock your front hubs. As an alternative you can always remove the drive shafts to flat tow your cruiser.