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Switching to battery ignition

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I am going to switch from magneto to battery ignition on my 3416H. I already have my 3414S set up like this which I did not do at the time.

My question is, do I have to get the wire from the magneto removed as it apparently rubbed through and broke off inside the shroud. I prefer not to have to remove the engine but was concerned that this wire would create a continuous ground if that is indeed a problem.

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