Hi Frankenstien,
I'm really just guessing here about the freeze - you could try an older Java version (still Java 6, so LW 5 will work). A couple of other Vista users have had Java-related issues & reverting to an older version seemed to do the trick. Try this version:
Archive: Download Java Platform Standard Edition (Java SE) 6u5
Just remember to uninstall any other Java versions before installing this version & reboot after installation.
Yes LW's player is definitely a sad one & can behave badly if there's any internet activity - especially if you're actively downloading via LW. Might not be the advice you're looking for, but my best advice would be to disable it & use another player