I can confirm the error with XSLTC from Xalan 2.5.2, I didn't try it with XSTLC from Xalan 2.5.1 yet. But it works with Xalan 2.5.1 itself, so I can only recommend you to downgrade to this version.
Hmm.... I am using with Xalan 2.5.2 and it works to me. As I posted before it is a kind of switching between xalan and xltc.
The problem with Xalan 2.5.2 is not the <xsl:param/> or the woody stylesheets in general, but this bug: http://nagoya.apache.org/bugzilla/show_bug.cgi?id=24457.
if yes, why it works to me?
I don't know. Maybe you don't use UTF-8 or such special characters. That this bug exists is confirmed by many people on users list for example or the two bugs in bugzilla (24457, and the blocking 24278) related to this.
Joerg
