I have a similar problem. I just switched from 1&1 to Hostgator and now I can’t upload pictures at all, getting this message:
Unable to create directory /homepages/18/d251748374/htdocs/wp-content/uploads/2009/05. Is its parent directory writable by the server?
In addition, none of the widgets in my sidebar show up on any other computer but my own. I called Hostgator’s tech support, but the tech I spoke to said he could see the widgets. i looked on my wife’s laptop however, and no widgets still, even after clearing the cache (on the computer) several times.
Any suggestions?