Expanding on GFX's reply here:
If you follow GFX's recomendations, you should be okay. It wouldn't hurt to do a CHKDSK /s afterward since there are bad sectors on the original drive. It is a more thourough check than the /F option and it will be slower.
Also, be certain that your replacement drive is compatible with the drive controller in the system. I once tried to upgrade the drive in an older Dell system that despite what the documentation said, was not compatible as a boot device. I had to restore the original drive and use the intended repalcement as a secondary drive in the same system.
If you do a Restore Anyware with your image to different hardware, you may also run into controller issues. I ran into this with a Dell Dimension 8300, Win2k, on an ATA drive. When I did a Restore Anyware to a Dimension 8400 with a SATA drive, I was prompted for the SATA controller drivers, despite the controller being a very common Intel product. I guess the SRD drivers were not Win2k compatible. Once I supplied the Win2k version of the drivers, the restore succeeded.