If you actrually read the old 250.50 it says you are using the neutral
conductor for grounding. Some (most?) inspectors said this had to be a
white insulated wire unless you used the exception that allowed SE
cable. It was never legal to use 10/2 wg Romex for a dryer. It was
also never legal to feed a 3 wire dryer or range plug from a sub
panel. It had to come from the main panel where the ground electrode
You should really look at the wire. You may find that it was actually
wired with 10/3 romex and the ground wire is connected to the box (a
common method) or cut off at the jacket. In either case you can
probably get enough slack to connect the 4 pin receptacle. If it is SE
cable (or 10/2 RX) you are stuck with the 3 pin.
It was 250.60
Here is the text from the 96 code
250-60. Frames of Ranges and Clothes Dryers.
(b) The grounded conductor is not smaller than No. 10 copper
or No. 8 aluminum.
(c) The grounded conductor is insulated; or the grounded
conductor is uninsulated and part of a Type SE service-entrance cable
and the branch circuit originates at the service equipment.
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