In looking through Macrium's documentation they do not say, explicitly, that their clone process does not attempt to clone bad sectors, though I would have to believe that it does not. Would I be correct in that belief?
More generally, is there any disc cloning software that is currently produced that doesn't ignore bad sectors?
There would be no reason to include anything in a clone that is marked as unusable on the original medium, but I seem to recall a very long time ago that some products did.
I've picked up a new 1TB SSHD that I intend to transplant into this computer, and it makes a lot more sense to me to do a clone (if the drive does not have a full catastrophic failure - I do have system images I could use) rather than a restore, then merge the 500GB of what would be unallocated space in to C:\ after the clone is complete (or as part of the clone, as it seems that Macrium supports resizing partitions as part of the clone process if one so chooses).