I had the 1st gen M12 ratchet, pretty junky (head always failing, battery retainer fails) in my opinion. The HF ratchet feels more solid, its more bulky though. I did drop it hard and it quit working, it was out of warranty. HF warrantied it if I'd buy the extended warranty for $20. That was certainly fair. I think its a good product for the money.
So, you got 5 yrs out of your Milwaukee before any of the warrantable issues you describe occurred? Or, you just never tried to warranty it?
We use M12 ratchets at work all day every day for several years now. As I've written here at GJ many times over the past few years, they're by far our most used tool. Anything 9/16 or 14mm or smaller (which is nearly everything we work on) we use them like a regular ratchet to break free and tighten down by hand up to 50-60ftlb or so (not designed for that abuse, but they handle it) and the power to spin them tight or loose in between. No one I know of has had
any of the issues you describe. I tighten/loosen hundreds of fasteners every day with my 3/8, so probably in the millions now since I bought it in 2015, and couldn't even begin to count how many times I've dropped both of them. They both do look really really beat up and worn out from much abuse, but still run just like new so far. I've been eyeballing the Fuel versions for a while now just waiting for either to give me a reason to buy one, but neither has.
I'm not even much of a Milwaukee fan. I'm firmly on team yellow with dozens of Dewalt cordless and corded tools. The only reason I own the M12 ratchets because to my knowledge Dewalt doesn't make one (yet).