That is right, they have had problems with the HD-ILA from JVC, but its getting better, but picture quality on non HD channels is better on DLP and there has been a "bowing" effect on the non HD channels also. I would definitely stick with DLP.
LCD rear projection is good, but the contrast is not as good, and the colors, as bright as they may be, will not be as detailed as the DLP. The DLP can produce more shades of the same color, which means more detail, but each eye has different preferences. But as far as technically speaking, the DLP is a better choice over LCD RP.