The adjustment of the clutch cover levers is important in that if they are not all set the same it will cause the release bearing to wobble while disengaging the clutch and this will cause accelerated wear on those parts. Also the pressure plate will not engage and release the disc evenly. This will cause a hot spot on the pressure plate and can really shorten the clutch life. Since you were not able to get it to release when first installed, like the tractor vet said, you have one of two problems, installed backwards, or the disc was bent on installation. The clutch cover assemblies coming from Hy-Capacity are adjusted in a jig that results in the lever height being correct within a couple of thousands of an inch, much more accurate than you are going to be able to accomplish in the tractor. You can probably get the levers set close enough to give you good service, but first you have to determine the reason it will not release. Since you ar sure that it did not bind up while assembling, then the most likely cause is the disk is in backwards. That has to be corrected before you can make any accurate adjustments. When assembling the clutch to the tractor, on those models with independent PTO and that have a large enough hole in the bottom of the clutch housing, it is easier to put the clutch assembly on the input shafts and slide the tractor together. Then, going through the bottom hole, bolt the clutch cover to the flywheel. Check the disc in the flywheel before assembling. When installed correctly there must be some clearence between the front of the disk and the crankshaft retaining bolts. If not, either the disc is in backwards or the flywheel is worn out. To adjust the release levers while installed, get one lever as close as you can. Adjust the release bearing until you have .030 clearance. (It doesn't make any difference what the thickness is but you said that was your largest feeler gauge. I usually use a piece of keystock.) The adjust the other two levers until they are all the same. With the engine running, move the release bearing forward enough to make sure the bearing is turning. The bearing should not be wobbling. If it is you need to do a little more adjusting.
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