I"m gonna take a stab at this one, please correct me if I am wrong. I believe live hydraulics are when the hydraulics work with or without the clutch in. On a regualar H the hydraulics will only work when the clutch is out, the pump runs off the pto. But people have added a aftermarket pump that runs from the distributor. So the pump runs off the cam and the distributor is changed from a horizontal to vertical. I had an H that this was done to. This way the hydraulics will work whenever the tractor is running as the pump runs from the cam.
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