There is a fuse to disable it, but I don't know which one...I'll find out and post it by today. But your AWD shouldn't be on full time...only when you need it. It looks like there is something definetly wrong with your encoder motor. They are notorious for going bad many times. make sure you get that taken care of immediately, if not, then you're going to be looking for a new transfer case pretty soon.....(another $1300 to spend for you)... I'll make sure to find that fuse for you. all i remember is that it is under the hood on top of the driver side fenderwall, i'll post back to which specific fuse it is, it should say in the owners manual...