Switching control themes (using System -> Preferences > Appearance -> 
Customize) I can reproduce this bug. When virtual memory usage is > 1.8GB I get 
the exact error message: Could not launch application Failed to fork (Cannot 
allocate memory).
Temp. solution: killall -9 gnome-panel (again for lazy googlers)

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gnome-panel has major memory leak
https://bugs.launchpad.net/bugs/229976
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