Preheat oven to 350F.
Mix ricotta cheese, cottage cheese, 1 1/4 cups mozzarella cheese, 1/4 cup parmesan cheese, parsley and egg until well blended. Set aside.
Brown and drain beef, combine pasta sauce with meat in frying pan. Pour water into empty sauce can, cover and shake well. Pour into pan and stir until well mixed.
Place 1 cup of meat sauce on bottom of 13x9 baking dish (this will stop the noodles from sticking).
Layer 3 lasagne noodles, 1/3 of cheese mixture and 1 cup meat sauce. Repeat layers 2 more times. Top with remaining noodles and sauce.
Sprinkle with remaining 1 1/4 cups mozzarella cheese and 1/4 cup parmesan cheese. Cover tightly with aluminum foil. (Spraying the foil with cooking spray prevents the cheese from sticking when you peel it off.) Bake 1 hour.
Remove foil and bake an additional 15 minutes. Let stand 15 minutes before cutting for easier serving.