how to repair DIVERTER NOT WORKING.
Water still flowing out tub spout after diverter knob pulled up. The most common reason is that the diverter gasket has worn out.

link to video on how to fix water dripping out of tub faucet:    • How to Fix Water Dripping From Bath T...  

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Moen GASKET PLUS diverter gate for $10: https://amzn.to/3Z2pXB6
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There are mainly two types of spouts you’ll find in most homes:
1) The kind that you simply hold the spout and turn it counterclockwise to take it off the pipe. (If it’s stuck on the pipe, you might need to use one of those giant adjustable pliers to turn it but be careful that you don’t end up breaking off the pipe.)
2) The kind that you just slip on and off the pipe. This type of spout is held in place with a set screw that is screwed on from underside of the spout.

Step by step instructions:
1. You should first look at the underside of your spout to check if there is a screw there. I use a mirror to look at the underside. If there is a set screw, you need to first unscrew it by turning the screw counterclockwise.
2. Cut through any caulking around the spout.
3. Then, simply pull the spout off the pipe straight out towards you.
4. In order to take out the diverter, unscrew the diverter knob and take it off. You may need to use pliers.
5. Replace the rubber diverter gasket.
6. Remove any hard water build up around the opening inside the spout at the front, by scraping off with a narrow putty knife, so that the area around the opening will be nice and smooth.
7. Reassemble the diverter into the spout.
8. Put the set screw back into the spout and screwed on just to the point before it would come out the other side. This way, you won’t have to screw in too much after the spout is back on the pipe.
9. Clean pipe surface, so that the o ring in the spout can make a nice seal with the pipe.
10. Tighten the set screw. And you are done! By the way, it is normal for a diverter that is working perfectly fine to drip a little bit of water.

This video also shows you how to replace o rings in the spout that has gone bad. I took the spout off AND and after unscrewing the set screw enough to not get in the way of the inner component. I’m now trying to take out the inner component using a tiny screw driver, so that I can replace the o ring. There are actually 2 o rings that you should replace. When putting this part back inside the spout, make sure that the opening in this part is aligned with the opening for the set screw.

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