It would help in trying to track down what might be causing the problem if you could post some information:

What operating system (Kernel32.dll means it is windows, but 95, 98, ME, XP, NT or 2K?)?
What version of Java (If you haven't already done so, downloading version 1.4 would be a good idea - the link is on the download pages)?
What version of LimeWire (The latest version - 2.5.5. is the most stable version for a while, here at least)?

Many, many people are running LimeWire without a problem - if there is a bug, it is specific to certain setups. Without more information about what each of you has setup, there is no way to find out what the common cause might be.

You could try downloading and installing from the alternate installer (I think this is less automatic - but may bypass the problems you are having).

Mark