Land Rover Repair: No Reverse in 2002 Landrover Freelander, check engine soon light, repair attempt

Question
Hi,
I have a 2002 LR Freelander. Last week i paid $1800 to have a "drive transfer case" replaced.  I took the vehicle in because it was making a loud chainsaw grinding noise. When I took my vehicle in the machanic said that the transmission was fine and that he needed $800 up front to take out the motor just to see what was "wrong".  He discovered it was the "drive transfr case" and the he could get one for $975. Okay fine...I paid it and it was "fixed".

Now upon me leaving the shop he told me that I could only drive it in 4 and not in D.  When I brought it in I could drive it in either gear.  He also said that the temperture gauge was going crazy.  When I brought it in I didn't have a problem with the gauge. And when I left the gauge stayed in the middle range, like normal.  He said "bring it back and we'll work on the transmission...".I reminded him that HE said the transmission was fine.

So with all of the new stuff I have to deal with, as I was driving home the "check engine soon light" came on.  It has since stop coming on by itself.  One week to the day I brough my LR Freelander home the reverse stop working and its running hot (smoking and the tempature gauge is going crazy ).  

Took it to LR and they said that it will need a new transmission and it will cost $4000. I can not see myself paying $4000 after just paying $1800 a week ago.  I know it has to be a more simple solution.  Please advise.

Answer
I'm sorry to hear of your troubles.  You probably needed an exchange gearbox to begin with, but you unknowingly threw away $1800 in a failed repair attempt.

Perhaps you can get something back from the first shop.  It sounds like they caused more damage than they fixed.  But there are two sides to every story, I've never seen your car, and I don't know what they would say.