Thanks for the guidance on the flipped circlip. Subtle, intermittent problems are the worst. That sounds like something that I would have missed, and lacking a good hub to compare with, I was lost. I have dabbled with old AW hubs, but this is my first S-RF3. It seems like a very traditional Sturmey Archer, even with dodgy factory assembly, and in the case of mine, an inexperienced mechanic, they just keep working. Very over-engineered! It will probably not suffer too much if I defer the circlip check to the next tear-down and relube.

As an aside, I recently got a complete wheel with Nexus-3 coaster brake hub, and have reworked an old Schwinn World to be a 3 speed. It is apples and oranges comparing the drop-bar World with the old Columbia Sport-3 that I have the S-RF3 on, but the wider ratio of the Nexus works well for the drop-bar bike. Either bicycle works well for commuting around Indianapolis. Time will tell if the Nexus-3 gives as good service as the S-RF3 has. It is kind of nice having an internal brake that maintains the same response in rainy conditions as dry. The coaster isn't great, but is better than I expected.

Thanks again for the follow up post. Shared experience is a great aspect of these forums.