I like to install the seal flush to the pan rail. The mistake that is made most often is no reference line is scribed into the seal holder to the pan rail when the bottom seal is aligned to the top seal with the crankshaft out. Why would one do that? Because there is front to back play in the seal holder🤓🤓. If you install the top of the seal then install the crank, you have no way of knowing if the seal lips are aligned😎

Why is there play in the stock seal holder? Because it was designed for a rope seal so it really does not matter if its bolted down .030 cocked. If the lips on the rubber seals are not in alignment you will have a leak.....

1 install top seal

2 install bottom seal in seal holder

3 install seal holder into block with out crankshaft installed

4 tighten seal holder bolts 5 ft pounds

5 tap seal forward and back till seal is allighned

6 scribe line with straightedge across seal holder and pan rail

7 remove seal holder

8 install crankshaft

9 install seal holder with rtv on sides

10 align seal holder to reference line scribed into pan rail

11 torque seal holder bolts to spec

12 no leakey