My IIe card has worked fine in an LCII for several years.  You might try the
following:  use 2.2.1 software, and delete the A/Rose and IIe Prefs files.
The following is from the Apple TIL:
***************
***************
"To use the Apple IIe Card on a Macintosh LC II, Macintosh LC III, or
Performa 400 series running System 7.1 or System 7.1P, you need version
2.2.1 of the Apple IIe Card software. You should upgrade to version 2.2.1
ONLY if you are using System 7.1.

Any error listed "Error Type 1" through an "Error Type 4", an error 10019, a
"defective card error", and/or a partial screen in the IIe mode are
indicators of the incorrect version of the IIe Card software.

Some customers launching the IIe Startup application are getting dialog to
the effect "This card is defective." They may also be experiencing their IIe
software "freezing" either while in use or after sitting idle. This can
happen on any Macintosh computer that supports the Apple IIe Card.

This can also happen if you install an Apple Ethernet Card in certain
Macintosh computers, and then later remove it and install in its place an
Apple IIe Card. You may also encounter occasional crashes after
approximately 30 minutes of idle time.

To correct this problem, delete the A/Rose and IIe Prefs files then restart.
A/Rose is located in the Extensions Folder and IIe Prefs is located in the
same folder as the IIe Startup application."

"Dennis Jenkins" <dennis@usb.com> wrote in message
news:3A7ED75B.C776ABED@usb.com...
> Argh!!!
> This relates to the Apple IIe card (w/ the 'Y' cable!)  for a Mac
> LC-II.  I just purchased one off of ebay.  I plugged it in, installed
> the software and it all worked.  I already had a 10M prodos partition on
> my mac's HS and it recognized that too.  The colors on the RGB monitor
> are so crisp, it was wonderful!
> Then like a dream it ended.  When I was done playing around with prodos
> that night, I shutdown the Mac like normal.  The next night I booted it
> up and tried to run the IIe card control program.  It reported "You must
> have the IIe card installed to run this software".  But the card is
> installed.  So I rebooted and tried again.  No luck.  I removed the card
> and re-inserted it.  No luck.  I did this five more times.  Then I took
> another Mac LC-II out of my junk closet and hooked up my HD, ram,
> keyboard, etc... and IIe card to this other Mac LC-II.  Still no luck.
> I put everything back into the original Mac LC-II chassis.  Still no
> luck.  I've removed and re-inserted the PDS card over 10 times.  I've
> left the machine on for several minutes before trying to run the program
> (thinking it needs to "warm up").  I've even cried on my wife's shoulder
> that I just blew $25.  That didn't help either.
>
> When I was in high school, we have 5 Mac LC-II's, each with an IIe
> card.  After a few months, three of the cards just stopped working,
> exhibiting the same symptoms as I described above.  However, we never
> opened the macs too "scooch" the cards.  One day, one of the IIe cards
> spontaneously started working again.
>
> I don't fault the ebay seller.  The card was working when it arrived.
> I haven't contacted him yet.  I want to try to get it to work first.  Do
> any of you have any ideas?  Maybe I can just hack the controller program
> to not test for the card and just "assume" that the card is present.
> I've got resedit, just not enough time...
>
>
> --
> dennis@usb.com                           Universal Savings Bank.
>
> The three most dangerous things are a programmer with a soldering
> iron, a manager who codes, and a user who gets ideas.