I have a hiperfire 24-c in mine. The 24-c was I believe the previous name for the competition. I have had no issues with mine, works perfectly. I did remember having some difficulty getting the springs installed the correct way. That is the first thing I'd check if I were you.
The trigger itself is ok, I have another one in my AR15, I like them.
It's the combination of the Smith and the hiperfire that is not working in my case.
I think the geometry of this trigger and rifle isn't meant to be. Looking at the photos again, I'm not sure if there is anything you can do that is reversible to the trigger to make it work.
I have the Hiperfire 24-C in my 15-22. The hammer does strike a little low, but the face of the hammer is making contact with the rear flat of the firing pin.
No misfires with 1500 rounds so far.
It is unfortunate that yours is doing what it is.
I am having some light strikes with a hyperfire eclipse I just put in my 15-22. Looked at the hyperfire trouble shooting info and one of the suggested problems causing light strikes is using anti walk pins. I also installed KNS anti walk pins in this 15-22 with the hyperfire trigger.
Anyone else have problems caused by the anti walk pins?
On a side note I have a eclipse installed in a MPX without the antiwalk pins. I can see the hammer pins does do some rotating when the hammer falls