**CAUTION** This repair may permanently cause your device to stop functioning**CAUTION**
The lens mechanism works on a ball bearing track system, it's likely that it's fallen off the track. It's incredibly hard to re-set it yourself but if the camera is out of warranty you might as well try.
Having a lens repaired costs in the range of $200-300 CAD, and with pricing now on camera's you can replace it for less than the repair.
To try and re-set the lens on the track just try pushing the lens with some force as you power down the device, sometimes you can get lucky and have it fall back onto the track as the camera grabs the rest of the lens still on the track. But as I advised, only try to do this if you're out of warranty and prepared to completely destroy the camera, as there is a chance it will happen.
There is a possibility that a bit of grit or debris has got stuck in the retraction mechanism or the lens has been knocked out of alignment.
The camera will have switches inside to tell it when the lens is retracted or extended and if it doesn't make contact within the expected time then it will give this error.
If the there is no warrantee or you dont mind voiding it then I would suggest carefully disassembling the camera and turning the retraction motor by hand to see where the problem is.
Please comment again if you discover anything.
Good luck
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