So I thought I was being slick and replaced the stator while I had the motor out and the frame being cleaned up. Now I have the engine back in the frame and was planning on getting things buttoned up this weekend when I ran into a snag last night.

The rear wheel is back on the bike, the final drive is on as is the shaft and bevel gear housing, etc. HOWEVER, the rear wheel turns forward maybe an 1/8th of a turn and stops. OK. It's in gear, no problem. But when I go to check the little arm where the clutch cable connects, there's no resistance and it spins all the way around freely. I re-installed the bevel gear case like the manual says, but I've read in a forum post that you have to rotate it clockwise or something before putting the case back on. Is that true?? Obviously something is wrong, but I'm not sure of where to start checking other than pulling the case back off and putting it back on, new gasket and all. Any ideas, suggestions, or pointers before I just pull the sucker off again? Thanks guys!

Behind the circled cover there is a release shaft that meshes with the clutch actuation arm. If this gear has been moved too far outward, it no longer is in contact with the actuation lever and will not operate the clutch. You can use a large flat tip screwdriver for this type cover or an allen key on the older VNs. (The Clymer's shows a VN700 with the hex type cover).
Once you take the cover off, you can see the release shaft and adjust it accordingly. You don't need to remove the bevel gear assembly to do this. If you have a Clymer's manual, the procedure can be found on pages 230-231.

SWEETNESS! I checked the thread just before I was going to head home and try to tear into the thing. Thanks for the pointer Sky Rider! As soon as I get home this evening I'll take a look at the manual and see about giving this a go. If it works I owe you one for saving me some work and $ for a new gasket. I'll let you know how it goes.

Chiron

Well it appears to be working correctly now. I still have to get the handlebars and etc. re-installed and the cable hooked up to be sure. But it definitely feels like it's fixed. I'll know for certain tonight when I get the front end back on and cables hooked back up. <crossing fingers>

Thanks Sky Rider

No Problem, that's what we're here for.

Well, looks like I was wrong. I put it all back together and have the same problem. I can see the end of the clutch rod with the big screw cap off, but there's nothing to make contact with it. Am I doing something wrong???