Re: If its not one thing it is still another & another
Have you ran the motor yet? Might try to take the clutch cover off and tap the clutch lightly with a hammer, the center part, as your applying some clutch release(handle in) pressure, on some new motors the pucks are stuck to that outs.ide plate. If that doesn't work, you may have to take the actuating rod and ball out and lube 'em up. It is not entirely unlikely that it was put together dry or wrong. Put a little grease (a dab) on the gear before you close the clutch side. Look at "norms 2 stroke repair" thread, he has lots of Pix that'll help you. Also check the fulcrum, the vertical rod under the clutch lever, verify against the Pix on the thread for proper build up. Hope that helps, the thread shows all adjustments too.
Sorry bikeguy, your post wasn't there when I started!