there is no seal to keep water from leaking out the bottom of but shaft. The seal are to keep water from leaking into bilge. There are bushings in the tides marine but some water can leak by.
I had the same issue and it always failed at the worst time. I search and search and finely found a broken wire that was only making contact part of the time. on front left side of motor there is a red push button reset there was a wire that was barely connected. I got lucky hit it and it fell...
make sure you door is latched all the way back. There is a magnetic switch on the door so it has to be open. I was having boat moved and the part in the door fell out so switch would not make.