Ok here is some clarification:
ESP modes - additional information
ESP can be disengaged by the driver, causing less ESP intervention, placing more vehicle control in the driver’s hands. SRT drivers and off-road enthusiasts may wish to partially disengage the system for more spirited driving or extreme maneuvers requiring additional wheel slip, such as highspeed cornering or rapid acceleration from a standstill.
The availability of the Fully ON, Partially OFF and Fully OFF modes varies by vehicle type: normal, SRT and select 4x4 vehicles.
Normal vehicles consist of Chrysler and Dodge automobiles and 2WD SUVs. They feature two of the modes: Fully ON… and Partially OFF. ESP Fully OFF mode would not typically be offered.
SRT models (except Grand Cherokee) and police vehicles feature all three Modes: Fully ON… Partially OFF… and Fully OFF.
Select 4x4 vehicles
Select 4x4 vehicles also feature all three modes. LESS ESP intervention may be valuable in situations where some wheel slip is desirable. ESP Partial Off mode will allow for more wheel slip, while the Fully Off mode will allow for even more wheel slip by completely disabling the All-Speed Traction Control. In Fully Off mode Yaw Control and Electronic Roll Mitigation are also disabled. When the vehicle’s transfer case is in the 4LO mode, the ESP Fully Off mode is automatically engaged.
Fully engaged, active ESP means all modes — all active, all the time. This is called the Fully ON mode and should be used for normal driving. The Fully ON mode completely activates the Antilock Brake System, Low-Speed Traction Control, All-Speed Traction Control, ESP Yaw Control, and Electronic Roll Mitigation. By default, whenever the vehicle is started, ESP is Fully ON or fully active.
Fully ON is automatically engaged, requiring no specific driver input. The system defaults to Fully ON each time the key is turned from the “off” to the “on” position or when shifting the transfer case on 4x4 vehicles. One push of the ESP button will put ESP back into the Fully ON mode if the vehicle is already in the Partially OFF or Fully OFF setting.
The Partially OFF mode provides less automatic control by modifying the all-speed traction control and ESP yaw control thresholds. This will allow for limited wheel slip for high-performance driving situations, or driving off-road.
To select the Partially OFF mode, a single press of the “ESP OFF” button at any speed is all it takes. A warning lamp in the instrument cluster will illuminate.