I agree with Bob, the awning is not fully closed likely due to there not being enough tension on the spring, the result being that the fabric is not retracting and rolling up tightly bound by the tension spring inside the roller tube. This could be due to a number of issues, i.e. fabric age/stretch, or a bad/broken tension spring.
One way to check this would be to go to Zip Dee's website under their Instructions
menu, select the type of awning you have and refer to the fabric replacement instructions which will guide you (safely) on how to release all tension on the spring and then re-adjust it which should result in the awning retracting properly to which will also result in the case slats closing more. From your photos it appears that the Z lock is not aligned with its keeper bracket which is an indicator that the awning is not being completely closed. The instructions provide guidance on both removing the tension and how to adjust it properly by a set # of turns + one turn for each foot of length.
The tension spring does have a lot of force applied to it but if you follow the instructions and have some help you can do it safely and without incident.