Actually, when you die and you're level 10 and under you still have all your gear and experience. If you're past level 10 and die, you'll have to CR as normal. That's how it is on retail now. They made the game too easy if you ask me. :p
Looks like Perl isn't set up properly.
IIRC, you can't use quests with Cavedude's database but you can with PEQ's. If you're switching back and forth between the two, you should really be careful. Just do a clean PEQ install from their website with the latest database and quest pack. And redo the command lines for the part when you installed Perl.
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