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okay you have take out all of the skrews on the plastic part and take that off then you can see the latch from the inside if you pull the handle you can see that the lever is moving but the part that is suposed to be attached to that is not attached. you have to put the part back in place and it will move fine.
"EDIT BY MIKE FISSEL: It's not the simple. Unless the rear hatch is open, the screws are hidden and inaccessible. I am looking at my 98 right now from the inside and that big old plastic piece of trim isn't coming off without the hatch being open and up.
Jeep figured this out on the WJs (99 to 04) and put an access panel in the trim piece. I see that on my 99.
When I figure it out, I will post more."
"FINAL EDIT BY MIKE FISSEL: OK here is the Fix: First, crawl in the back of the Jeep and take the two screws out of the back trim panel just below the window. Then pull the panel back and reach down between the panel and the tailgate. Don't pull back to far as you can break the plastic panel. Locate the rod that goes to the latch and pull it up. The gate should open. With the gate now open, remove the rest of the screws around the panel. There will probably be 2 screws in the top corner of the carpet on both sides. They are hard to see so feel around for them. Once removed, Then pull the panel off. Once removed you have access to the lock and rods. See if anything came apart and put it back together. Reinforce it if you can with some wire. Give every thing a good cleaning with WD40 and the it should work like new. Before you put the panel back on, close the gate and try it out."
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