No offense if you like ME, but I have to agree here. Of all the Windows OSs I've used from 3.0 on up, I've found ME to be the least stable and the weakest memory manager. Your system wouldn't be able to take much advantage of XP (as it needs at least 256MB of RAM) but 2000 will probably hit the sweet spot. Just make sure you get all those service packs first thing.
Most likely what you're experiencing is an error related to ME simply not cooperating. You may want to get all the relevant updates from Windows Update before you upgrade to a newer OS, as one of those patches may fix the problem.
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