The brake pads have to move freely on the pins holding them in, and the caliper needs to retract slightly after the pressure is released. I'd start by pulling each pin, wire brush the rust off and lube with white lithium grease. Are the calipers new or rebuilt? If rebuilt, I've seen the reman guys just blow them out and reassemble with new seal without honing the cylinders out. When the new seal scrapes across the ridge it starts leaking and could bind.
Jerry & Jeanne
1996 Safari Sahara 3530 - 'White Tiger'
CAT 3126/Allison 6 speed/Magnum Chassis
2014 Equinox AWD / Blue Ox