I just posted yesterday having the same problem. I actually started out with the transceiver that came from the Firecracker kit also. No problems with that transceiver. The one I had problems with came with the Active Home kit. Whenever the appliance switch that is incorporated into the transceiver was turned on, it would dim all the way off with just a brief push of the dimming button. Then it would freeze up for a minute or two. If the switch on the transceiver was off then everything worked perfectly. I just sent it back to X10 for replacement yesterday. As far as the loud clicking sound, that seems to be pretty much how it is supposed to operate. I get a loud click on the transceiver as well as the stand alone appliance modules. I did start using an appliance module from Magnavox yesterday that is a little quiter but the click is still quite audible. The Magnavox does hide the home code and unit code dials though and is a nicer color than the just plain white.