I see. At first I thought it might have something to do with the path (btw, IMHO, you absolutely deserve the insane file path of the month award
I think the problem and the error is actually coming from MediaLab's inability to FIND Inquisit. It used to be that ML could automatically detect the installation path of Inquisit but now it can't. I'm not sure if this is due to a change in registry settings created by Inquisit when it's installed. I am checking with Sean Draine to see if that's the case.