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#11
You should be able to use a free third party tool like Partition Wizard to get around the MFT problem.
Most imaging tools will NOT allow you to restore to a smaller partition---so yes, you have to shrink the partition if your destination partition is smaller than the original. Your alternative is to find a program that doesn't have that limitation and as far as I know all of them cost money.
Most would advise you to go with Macrium or maybe Acronis rather than the Windows tool. But you still have to shrink the partition if you intend to restore to a smaller one---as WHS originally said.
If you use a dedicated backup tool (not an imaging tool), you can certainly have it back up your drivers directory---or any other directory. That kind of flexibility is a very important.