I had the same problem with the 'push the rest button' on the display after the tape mechanism jammed up against the tape compartment cover. I figured there was probably a mechanical error, possibly a switch. I dissassembled the camcorder and found the tape compartment cover switch was sticking. Here's how to fix it with some photos to illustrate:
1. Open the tape compartment door and remove the screws in the small plastic cover (fig. 1). Remember to look a which screw came from each hole as they are all different.
2. Remove the plastic part from above the tape mechanism (fig. 2)
3. Remove the screw above the front grip belt mount (fig. 3)
4. Remove the screw above the mic (fig. 4)
5. Remove the battery and take out the screw at the top left under the viewfinder (fig. 5)
6. Take out the screws under the LCD monitor (fig. 6)
7. Remove the two screws from the front underside of the camera body (fig. 7)
8. Now you can slide the front of the camera, together with the curved aluminium top section away from the main body of the camera (fig. 8)
9. It is possible to reach the switch with the front moved forward slightly, but it is possible to take the front off entirely by removing the wiring ribbon with the green tab (fig. 9)
10. Clean the brown switch at the bottom left of the exposed camera front with a soft brush/air (fig. 10 )
11. Reassembly is the reverse of the above procedure.
Hopefully this will mean no more frustration with the 'press reset button' screen.