Abstract: A system and method for identifying physical blocks marked as logically “bad” or “punctured” during a drive rebuild process enabling the information handling system to process these blocks more intelligently and preventing existing drive physical media errors from needlessly being copied and propagated to new drives. Various implementations of the invention allow physical blocks on a target drive to be marked as “punctured” so they can be diagnosed to verify that they have not been erroneously marked as being “bad,” thereby reducing the number of misdiagnosed drive failures.