Then I remembered that Ghost has a command line switch to force a clone ignoring sector errors: the "-fro" switch as in:
ghost.exe -fro
You can also enable this feature from Ghost's options menu. I think it's in the Misc tab.
You don't want this switch on by default, but it's handy if your source drive has bad sectors.
So I copied the drive, but I knew I had some corrupt system files (text was missing from some Windows menus for instance). But I took a chance that the restore files were intact and rolled the system back to a restore point from a few weeks ago, and everything is working just fine.
