HELP! Drive Reformat?

[jt643]

I have my iPhoto library on a Buffalo Stealth external.  The other day when I was importing photos from my iPhone, the drive dropped.  I was able to access the photos no problem right after the drop...no loud noises or whining.  I began backing up all my data to another drive, but the backup always errored on my iPhoto library.  Now, I am not able to access the library at all. 

Since I am able to access most of the files on the drive, I wonder if the library is corrupt because I was transferring files when it dropped. Or, maybe the actual disk itself is damaged from the fall.  I thought the stealth was supposed to be shock proof. 

My two options are:  1) reformat the drive (but then if it is damaged, that won't do any good...is there any way to tell through a diagnostic?) or 2) explore any software solutions that could "repair" the corrupt files.

Any help would be greatly appreciated.