When you open PALS_B12.RIGHT.DEMO.73730.spec what happens? Do you get a dialog
with the title "Specification File: PALS_B12.RIGHT.DEMO.73730.spec" that lists
the names of files? If so, (1) press the "Deselect All" button, (2) In the
"Topology Files" group, "check" (select) all of the checkbox
Scroll down to the Windows XP section:
http://brainvis.wustl.edu/CaretHelpAccount/caret5_help/installation/caret5_installation.html
But that out of memory error still makes me wonder about the character set.
Unless you have a user/pc that has only an english character set that you could
try in