After playing around some more I can confirm that I can select the layla as an output device for music tracks in VLC, for example, (in addition to ableton) and use my headphones on the layla headphone output. However for recording and playback, I cannot get a good signal on 96kHz... only 48kHz. For channel testing, I use ableton software to simulate the CPU at 80% with a 440 Hz tone. Adjusting the sample rate 128, 256, 512, 1024, etc. only adjusts the cracks and static slightly... nothing even close to that sweet 440 tone I hear over 48kHz/256 sample. I've played with volume and CPU load settings too. I'm only using a single channel with an i3 2350 processor (2.2 GHz). I'm thinking either my 96 channel is blown (not likely because the 32kHz channel has the same crackle static problem) or maybe it has to do with the ASIO? Can someone point me towards a better way to test or figure this out? I'd contact echo but they no longer support.
edit: tried JRiver media playback at 24/96kHz and had same issue of static and stutter on playback. No issues at 48kHz. Tried Cubase 5 and same issue of 24/96Khz static on playback. I'm thinking of trying some of the following trouble-shooting... Please comment if you are reading and have tried for yourself.
-disable onboard audio in bios
-try 32 bit windows (might play nicer with PCI audio)
-uninstall and reinstall audio drivers
-consider a better processor (i have a i3 2350m)
-try new audio cables TRS, etc.