Started a post on adjusting cut out, but it gets pretty tricky. Will just say, that spring tension on cutout and air gap from core to lever are what control it and is is normally adjustable. Reverse bucking current is what opens the cutout and spring tension and air gap both have effect on that and closing them. Actualy, I have seen new cutouts that were wired incorrectly and they constantly arced (sparked) while closed and charging. Needless to say they would not open when shut down. Had two one day guy brought in he had bought from parts store, slipped on one of ours, worked fine. At any rate, your cutout is not working as intended, wrong polarity or set or wired wrong internally.
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Today's Featured Article - Oil Bath Air Filters - by Chris Pratt. Some of us grew up thinking that an air filter was a paper thing that allowed air to pass while trapping dirt particles of a particles of a certain size. What a surprise to open up your first old tractor's air filter case and find a can that appears to be filled with the scrap metal swept from around a machine shop metal lathe. To top that off, you have a cup with oil in it ("why would you want to lubricate your carburetor?"). On closer examination (and some reading in a AC D-14 service manual), I found out that this is a pretty ingenious method of cleaning the air in the tractor's intake tract.
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