One clue I noticed from my experience and from reading here is that the corrupted area is just a static portion of the camera image (if you could actually see it). If something moving enters that portion of the screen it will clear up and start working. So it can look really bad and then suddenly clear up.
That suggests a problem with the video encoding. I have no idea what their particular encoder is doing, but it used to be that they would encode reference frames containing the whole image and then the following frames would just encode differences from that. So if the reference frame is missed or forgotten or otherwise screwed up, all you would see would be the portions of the image that have been updated since the video began. The static portions would basically have no info. That's seems to be what's happening with the dash cam. On the minus side, as long as it stays static it never clears up, which suggests a very long time between reference frames. That seems strange. Maybe due to motion sensing use?
On the plus side, if you see the video problem it's because nothing is happening. If that camera does see motion and and you really want that recording, the video should clear up and start working normally.