packrat5; ...the correct fluid doesn't need any additives.[/QUOTE said:
Ford service disagrees in that they commonly use a friction modifier in their A-Ts/torque converters to correct "shudder" problems. There are service bulletins on this. Most transmission re-builders that I know routinely use it to circumvent problems. Most limited slip rear end builders also use a friction modifier to eliminate that popping noise you sometimes get. Having said that, I do believe the band adjustment would correct the problem. As you said, no one will want to do less than talk him into a complete rebuild. A few bucks (about $10 at O'Reilly's) for a friction modifier could very much be a cost effective thing to do.
If the friction modifier thing doesn't work, he might try to re-adjust the reverse band himself. Not hard to do and just might work. The reverse band is the one located furthest to the rear of the transmission. The adjusting screw is external toward the top of the case on the passenger side so it's pretty easy to do assuming you can access it. At worst case you might have to drop the cross member a bit for access.
Loosen the 3/4" locking nut while holding the square headed stud with a wrench. Continue to hold the locking screw and back the nut off by a few turns and then turn the screw in just until it is as snug as you could reasonably do with a screwdriver. Keep track of how many turns it takes to bottom it out. Now back the adjuster off by 1 1/2 turns. Make sure you hold the stud while you then tighten the locking nut. That's all there is to it. You do not have to remove the pan.
If this procedure doesn't work undo what you did by exactly the same number of turns of the adjusting stud and you are back to where you started.