I agree with yancek, in my experience it is usually a BIOS issue if you get that "hard disk error" from Grub. But there are some people who have been able to work around it though by installing Grub to the MBR of the drive while omitting the stage1.5 file that is normally embedded in the sectors immediately after the MBR; instead Grub's stage1 file in the MBR points directly to the sector location of Grub's stage2 file instead of using the stage1.5 file to search for the stage2 file. You could try and see if that fixes your problem, by doing the following as root:
grub> root (hdX,Y)
grub> install /boot/grub/stage1 (hdX) /boot/grub/stage2 p /boot/grub/menu.lst
So replace (hdX,Y) with the Linux partition that has Grub's boot files, and also change (hdX) to whichever drive you want to install Grub to. The above commands install Grub to the MBR of drive (hdX) without including the stage1.5 file. Let me know if that helps.