Fatal error: Cannot run code from this file.....

Hello all, new member, hoping to get Dolphin up and running. I have installed the programs on my server, after installation it tells you to delete the install directory and reload the index page, which I do, but then I get the following error:

Fatal error: Cannot run code from this file in conjunction with non encoded files
in ../ray/modules/shoutbox/inc/header.inc.php on line 55

When I head over to the file in question it is empty. I've tried changing permissions on it to see if it is a write error of some sort, no go.

Any ideas?

Thanks a bunch