Dealership Nightmare

Location: Bloomington, IN and Chicago, IL - I recently bought a used car on marketplace. I took it into a dealership in Illinois for an oil change and their free multi point inspection. They found that it passed inspection, save for some items that I declined that day. Trusting the report, I drove the car to school in Indiana (about 4-5 hours away). After I got here, the car started making a grinding noise when accelerating. After researching why this could be, I made an appointment with a local dealership to flush the transfer case fluid. When this dealership went to drain the fluid they found it totally empty and rusted inside... they recommend replacing the transfer case at over $8000. This was exactly 7 days after the initial inspection that stated "Transfer Case Check Fluid Level/Fluid Condition/Leaks" as "Passed". I recently called the Illinois dealer and the manager I talked to said that the inspection form I was provided with was a generic form from an external provider used for all vehicles and across multiple service centers. The Illinois dealer only performs non-invasive visual inspections (this is listed nowhere on my paperwork). He stated that it was not reasonable for me to have expected them to check the fluid level/condition because doing this on my vehicle would require them to remove the fill plug (apparently my car has a sealed transfer case, how could I have been expected to know this?). The car drove fine before the trip and I believe that if the Illinois dealer had caught the empty fluid, the damage could have been prevented. Was it unreasonable for me to ask the Illinois dealer to cover the cost of a replacement? Their inspection report was definitely misleading, and I signed nothing stating that the report could be inaccurate/shouldn't be relied upon. The manager admitted over the phone that they did not perform the inspection as listed on the report, they only visually checked for leaks. He defensively shut down my goodwill replacement request. Any advice is appreciated, I'm a college student and cant afford that bill, or even an independent shop's estimate for a used replacement. Both dealerships involved are Jeep dealers. I thought an official dealership could be trusted to provide customers with accurate documentation, I guess that was asking for too much.