Leaky Torque Converter?
 

My friend brought over his 81 TD. There is fresh Tranny Fluid dripping (very slowly) from the front of the Torque Converter. It appears there may be a gasket leaking. Is there a gasket where the T.C. bolts up on the front?

Chances are it's the seal at the back end
 

of the torque convertor, where it extends into the transmission case. Fluid tends to run down from there and follow the curve of the TC until it drips off the ring gear. If it's like my '85, it will leak a lot after aggressive braking, but none or very little during smooth highway cruising because of the momentum factor.

But do have the torque convertor drain plug checked for leakage, too.