Got 3 of these hubs and been servicing them for years.
Freehub will rotate when in the wheel and qr tightened up but it’s restricted so the rachet won’t disengage fully. So while the wheel is spinning the cracks still rotate when it should be freewheeling. If I hold the cranks the freewheel engages but the chain goes loose.
Don’t know how you can get the spacer wrong. All there is in the hub when you slide it all into the axle.
– spacer on the axle,then spring, then 1st ratchet, spring in the freehub, ratchet in the freehub, slide together, end cap on.
Looked at the two bearings (separated by spacer) in the free hub both seem in good condition and not rough.