A transfer case control system or apparatus 10 is provided for use on a four-wheel drive vehicle of the type having a transfer case 32, a front driveshaft 22 and a rear driveshaft 26. Transfer case control system 10 includes a conventional microcontroller or controller 40 having a memory unit 42 and operating under stored program control. Controller 40 selectively generates a control signal which controls the amount of torque provided to driveshafts 22, 26. Controller 40 provides an improved torque adjustment "response" by automatically adjusting to the condition of the vehicle's tires.