yes those tires are seriously bad. Get rid of them and get a nice set of General Grabber AT-2s in 235/75-15.
Go through the whole thing check all fluids dont forget the front and rear diffs and the t-case. Look carefully at the pinion seals on both diffs, the output seals front and rear and even between the t-case and trans. All these, with the rear main on the engine+valve cover gasket are common leak points. If it hasn't had a new rad and WP in the last 5-7 years figure on doing that sooner or later. Come winter, if you get a smell and fog on the windshield, heater core+AC evap time. I love ZJs but at this point they are ALL high maintenance, unless you owned it from new like me and fixed everything along the way.....
2007 WK Limited Hemi QDII
1998 ZJ Laredo 4.0 Selectrac