It looks like if I just switch both RAS, it could solve it. Indeed the lock nut from the culprit bolt is point inward right now (towards frame) for both RAS. If I switch the RAS (put the Rear driver one on the Left driver), those nuts with the bolts extending past the nuts will now point outward, towards the wheel, and thus, the bolt won’t hit the metal fin from light sensor anymore.
I am surprised because in the manual, there is no mention of a right hand or left hand specific RAS.
To conclude: if you install at the 2nd hole you have a 50% chance of hitting the light sensor metal fin (if your RAS is such that the culprit bolt points inward towards the frame). Either pay attention to that, and switch the RAS so bolts points outward (nowhere to be seen in the manual), or use the 3rd hole. I now have to redo everything from scratch.