Thanks for taking a look!
I took a pic of the spring. After taking the pic I took off the preload of the spring so I could turn the spring to a better position so it didn't hit the engine and the clearance was about 5mm. After setting the preload to the original position I now have a clearance of about 3mm.
But......when on its centre stand the lowest winding of the shock hits the triangular part where the dogbones and shock are bolted on.
When I sit on the bike the clearance increases and there is no problem. The problem only exists when there is no load on the suspension.
Is it wise to contact Nitron and sent the unit back?