I have been working on a small project that use the flip HD cameras and it was going really well for awhile but now every time I try to put more footage in the sequence it gives me a general error window and I have to close and reopen the project again before I can continue to do anything more in the sequence. Plus I have to revert to the previous save, thus no longer having the footage I just added into the sequence. The default setting are for HDTV 720p (16:9), and the compressor is H.264. Can anyone help me figure this out?
Yes. Either download MPEG Streamclip, which is free on the net, or use Compressor, which is already installed if you have FCS, and convert all the H.264 to ProRes, then import. H.264 is notoriously unstable in FCP7 and below.