TL*THE CONTACT OWNS A 2002 MERCURY MOUNTAINEER. WHILE DRIVING APPROXIMATELY 50 MPH, THE CONTACT APPLIED PRESSURE TO THE BRAKES AND HEARD A GRINDING SOUND. HE THEN BEGAN TO SMELL SOMETHING BURNING AND NOTICED SMOKE UNDERNEATH THE VEHICLE. HE INSPECTED THE VEHICLE AND DID NOT NOTICE ANY LEAKING. THE FOLLOWING DAY HE NOTICED AN EXTENSIVE AMOUNT OF OIL ON THE GROUND AND THE VEHICLE WAS PULLING. THE VEHICLE WAS INSPECTED BY A MECHANIC AND THE CONTACT WAS INFORMED THAT OIL WAS COMING FROM THREE DIFFERENT PLACES AND TRAVELING TO THE REAR DIFFERENTIAL. THE DEALER AND THE MANUFACTURER HAVE NOT BEEN NOTIFIED. THE CURRENT MILEAGE WAS 118,169 AND FAILURE MILEAGE WAS 118,000.