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Mine is leaking and I need to get a new one. Been looking at the pics of the item. Just a piece of plastic with a wire...how does it detect neutral? am I missing the obvious?
 

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The gear shaft (inside the engine, behind the switch) have a little piece of metal that when you put in the neutral with the pedal, reaches the wires terminal (inside the switch), and the motorcycle knows what is happening and what to do.
 
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