I am using the free version of the software.  Fair use goes through the first pass -- the point where you have to chose interlace or native.  After select choice and hit next, get error message as follows:

error box says --- pass mode handling need...
 
inside error box says -- x:: EncodingSet_EncodingMode

Hit OK.  When go to next screen, I cannot move forward from that point.  I had a laptop crash and just reinstalled fair use after crash.  Prior to crash, the software worked flawlessly.

I am running Windows Vista Home Ultimate.

Any suggestions appreciated...;