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Agree with the above. The spring is bad and the bushing are likely bad as well. Springs tend to flatten over time because of use but also because they're constantly supporting weight.
You could try just replacing the springs/bushing but if you hit the axle on your frame once you've likely done it many more times. So the question becomes... Is your axle bent? But the time you factor labor and parts (bushing, bolts, springs, and new bearings - because they likely need service too) you maybe into it the same or nearly the same price as replacing it all. And if the axle is bent you'll chew through tires pretty quickly. Replacing the axle isn't as expensive as you might fear.
I had the same thing happen to my 5,500 lb axle (likely much heavier than yours) a year or so ago and it was about $400.
This happens and it is what it is. Especially with older trailers.
 

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Ultimately the question that needs to be answered here is:
Why would he flip the axel anyways? Does he need more clearance? No. The suspension worked fine for many years indicating that there's sufficient space between the axle and frame. He's dealing with a worn out suspension and flipping the axle just perpetuates the wear issue without resolving the underlying problem. Why create more work when that isn't actually the problem at hand?
 
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