I had the same problem, few weeks ago. I decided to pay 37 CAD for an estimate to have the camera repaired. Two days later a pleasant surprise. The guys from the shop called me and informed me that the camera has a faulty CCD sensor, and JVC is paying for the repair. They have a recall on this model for the faulty CCD sensor. I think the recall end on oct. 01 2007.
Florin
June 2007