I think Michael is more interested in your money, than your problems.
A 94 with a transmission replaced by Subaru, is very unlikely to have any problems with the internal components. The Transfer clutch that is causing the binding at low speed turns is not a fault it just needs working. If the car has only done 25k in 5 years, the clutch plates that only slip at hard acceleration or tight turning may have lost the polished surface. Doing the tight figure of 8 turns causes the plates to slip and clean the surfaces, so that they can slip smoothly when needed.
The problem starting from a stop can be the engine faulting on the pick-up, or it can be a problem with the 1 – 2 one-way Sprague clutch in the box, this has to lock to prevent the assemble from rotating backwards, when in the D position. If this is the case, it will not happen when starting with the lever in the 1st position, as the Low-reverse brake is used instead.
As for Michael’s kind words, ” Although Harvey is a very bright guy to my knowledge he has not rebuilt dozens of these transmissions and does not have the hands on knowledge I do”.
Well I think I would back my 50 years in Automotive Engineering, to his 10 minuets as a back-yard operator assembling a gearbox that has no guarantee or warranty.
Harvey.