To fix it in 4.2, open Template Viewer and select the 'DDL SQL' framework.
Then select SQL Server -> then select SQL Server specific template bindings. Open the FieldCreationInclude template (it's almost at the bottom).
In the switch statement in the CreateFieldDefinitionString() method, add:
case SqlDbTypes.Binary:
toReturn.AppendFormat("({0})", field.TypeDefinition.Length);
break;
to make sure it appends a length.