Gosh Traci you have all three! Night wakings, early wakings and a short nap- wow! We have had our share of night wakings over the last two years so I am right there with you....and if taking him on the couch helps then I see nothing wrong with it. In my humble opinion you have to do what works for you and if it isn't by the book and you aren't harming your LO then go with it. Your rest (and his!) is what is important right now, when you get him all better then you can worry about the other stuff.
Just a few things I wanted to say too......does he have all of his teeth yet? This is prime time for eye teeth and molars so that could be causing the wakings if he is hurting. Ethan always had a rough time with his teeth and those seemed to be the worst for waking at night, most nights he wanted to cuddle for a bit and then he was fine but it must have really bothered him. It went on for a good month or more. Not until they were all in did things really settle down. Also about the diaper rash, has he had diahrea at all with being sick? When Ethan was sick and was pooping more than usual he got a nasty diaper rash that I could not get to go away. I eventually called the doctor and one time it ended out being a yeast infection!! I didn't even know that boys or little kids could get them. It looked extremely painful and red with little bumps everywhere, it might be worth checking out. Traditional diaper ointment won't help you. The second time I forget what it was but it was caused by the diahrea virus and they told me to get Lotramin (I am not sure what you have in Canada but it is the same stuff used for jock itch and I think even athletes foot! yuck I know...but it helps with fungal infections). Check with your doctor but a diaper rash that keeps getting worse and more inflamed might be more that the "traditional" rash. I don't know, just trying to help....
Have a happy early morning tomorrow
Jess