First of all - regardless of whatever others will say: Don't drive your 123GT untill it's solved - running 1.st. gear with OD engaged WILL wear out your OD.
Your problem is probably not the '4th. gear-switch' - your problem is, that your OD doesn't dis-engage! (Sorry - it's obvious).
- What oil are you running in gearbox? (Your problem is not related to low level of oil (that will give slow engage of OD and fast dis-engage of OD), but to 'fat'/'sticky'/wrong oil).
- Your solenoid may have a problem retracting.
Check that electrical is fine - meaning: check that OD switch, switch current on AND off (at the solenoid).
Oil or wear in solenoid preventing the solenoid to function as should is your problem.
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