When Monitored and Set Condition:
WARNING: This page is about a different car, the 2004 Dodge Dakota. However, it is still accessible from the selected car via links, so may be relevant.
When Monitored: Continuously with the ignition on.
Set Condition: Whenever the Transfer Case Control Module detects any of the following conditions: 1. The Mode Sensor has an incorrect transition during a shift, then attempts and fails two times and defaults to a 4WD HI position. 2. An invalid Mode Sensor Position. 3. The Mode Sensor has four failed transitions during an ignition cycle.