Outlook and Delayed Write Failed

Hello all. Greetings from Sao Paulo, brazil.

I have a desktop with an updated version of XP functioning as a server with internet connection sharing with two client laptops also using XP. They are both connected to the desktop using a USB/Ethernet adaptor. Client1 works absolutely fine in seemingly all ways. I can read and write to the shared folders on the 'server' and visa versa. However, Client2 is having horrible problems. Opening files from the network is extremely slow I can't save them. I receive a Delayed Write Failed error. I also am having trouble sending e-mails as well. Sometimes it works and other times it doesn't (on more than one e-mail account).

I've configured the network statically and using the ICS wizard and neither have worked for Client2. I'm wasting a lot of time on this and I'd really like to get it resolved. I've adjusted the Cache writing on the hard drive of both host and client and no love.

Ideas?