One problem related to transfer case has been reported for the 2007 Dodge Ram 2500. The most recently reported issues are listed below.
Failure to honor warranty. 2007 power wagon was advertised as lifetime powertrain limited warranty (attached). Purchased truck new from dealer 1/15/08. 7/18/13 dealer repaired leaking drive pinion oil seal covered by warranty. 10/18/13 transfer case malfunctions wont stay in 4x4 and pops into neutral when climbing hills off-road causing loss of power. Dealer refused to honor warranty. Said warranty coverage code 803 indicated I didn't have a free 5 year inspection of covered items. 4/19/14 rear differential lock light malfunctioning while driving on hwy. Dealer refused to honor warranty. Dealer claimed corporate notified me of required inspection. I asked for proof of notification and it couldn't be provided. I contacted Chrysler dispute resolution center and was told the dealer was supposed to inform me of the needed free inspection to continue lifetime warranty. I asked for proof that I had been notified and was told that I had no proof that I wasn't notified and that the lifetime warranty wouldn't be honored. Thousands of dollars in repairs now for items covered under lifetime warranty.