wilykat:
Error code suggests it's having trouble with communication. How are you connecting, serial? I'd recheck that there isn't bad solder on serial pins to your serial device and there isn't any bad wire or something. I'd do the loopback test to be sure the serial device is working right.Also check for internal pullup on the serial pin, if it's enabled try disabling them.
I am using Arduino to upload the sketch by removing the on-board chip and connecting Rx to Tx of the Standalone and similarly Tx to Rx.
The loopback test has passed in fact i am able to upload the sketch to the onboard IC.