Hi RJ,
Thanks for the comments
YES YES YES it did indeed come out of the transmission
Not sure why folks are questioning the FACT it did indeed come out of inside the Transmission
I have had a few of older manual units apart myself
These "newer" (yes this thing was built in 2001 and many consider it old now) transmissions are a bit different from the older Ford C6 and GM 350/450 hydro transmissions, those things were a Piece of cake to get operational.
To date I've found the Solenoid Pack and the Accumulators needing attention. Not wanting to drop the transmission from the Jeep just yet and have yet to find the source of the broken spring which is driving me out of my mind.