On my t4's when I got those encoder response failures its nothing to do with the encoder at all. The car was unable to make run due to something in the logic so the encoder timed out due to no movement. I've had aux contacts cause it, I cant remember the name of the relay but one of the contacts is after saf3 and between the S coil has caused it. this is on a t4/tac50 so it does not apply to the 04's but the point I'm making look in other places then the encoder for reasons why the car did attempt to move but the logic was not correct to allow a run.