At the very beginning of this thread we went over how LCDOUT works, how it determines if what you give it should be sent as data or as commands, ie the $FE prefix. Now, a couple of weeks later you claim to have found this by accident and all of a sudden the LCDOUT command is at fault and doesn't work.

LCDOUT works perfectly fine for its intended purposes. You're trying to use it for something it was not designed for and because that doesn't work the way you'd like the command is flawed, is that correct?

Apart from editing the custom characters to not include $FE and/or writing your own routines to drive the display I don't have any ideas.