Ok here is what I did and here is what i hear
bought a 96 cherokee with a bad transfer case found one 01WJ model
replaced the sensors and anything that was different and the jeepie is doing fine BUT i havent drove it in 4WD in the snow (but it works in the mud)

01WJ model won't work in an XJ (other then the fact it has worked in mine)

Am I gonna have problems when its like 10 below and a foot of snow ?

 

If it works now it will work.

 

that what I thought but I got a few telling me I can't do that

 

I am not sure why they say that,it is just a xfercase,it seems to work just fine now,temperature is not going to change anything.