Unfortunately I've become fairly good at working on these jacks. The ratcheting noise is usually normal, as thats just what it does when it's fully retracted. The error light, obviously, means something is wrong. These work on current draw, and something is causing it to draw too much current. It can range from a flat spot on the screw, a chipped gear tooth, a motor in need of cleaning or replacing, to something as simple as cleaning the contacts.
Atwood has been just super to work with, and...I hesitate to say this as I'll jinx myself, the newer, update parts and pieces seem to be more robust than the originals.
If you were closer I'd say bring it over and we could tear into it. I have a good selection of spare parts and even a parts jack.
But you're not...so I agree with happy-2, give them a call and see what they have to offer. Like I said, they have been just super to work with.