Found this article & it really hits the nail!!
 
"Anyone who has been involved with four-wheel-drive vehicles has probably heard of or experienced positraction (posi) "chatter". Posi chatter is noise that is very recognizable and happens when there is too much friction in the clutches. Some hardcore offroaders set up their posi this way intentionally. The noise sounds like someone is pounding on the rearend with a huge sledgehammer. It is most prevalent when backing up in a parking lot (when everyone around can stare), and gets worse as the differential heats up. It also tends to show up on freeway off-ramps and when turning while taking off from a stop sign."
 
Best Regards
Pelle Andersson

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