I had this problem, though I own the Gigabyte HD6850. It is due to "the driver has not responded correctly error" [0x116].
I tried everything possible, the only solution was to Flash the bios to the latest revision. Though for me this was a simple process using Gigabytes VGA BIOS utility.
Can I flash the video bios using whatever version of ATI Winflash, or do I have to wait until a new version that supports the Radeon HD 6850 version comes out?