If it's been rubbing badly inside the diff you will need new yokes.
Have you checked bumper bar brackets etc?
Checked all the usual suspects, bumpers, exhaust (side pipes) spare carrier etc. etc.
All the rear suspension bushes look flogged out, so one or more could be the culprit, but will also pull the diff out and get it looked at,.
The yoke moving around is definately not good.
Anyone know a good source for a rear suspension rebuild kit ?
I might as well do the lot while I have it in bits :rolleyes: