"The application detected an error that prevents changes from being saved" To avoid losing your work, quit iMovie.

Anytime I try to adjust an iPhoto image that I have brought into IMovie 11, I don't see the bounding boxes or in the ken Burns the Start and End boxes, all I have is a crosshairs in the center of each, Fit, Crop and Ken Burns. After about 10 seconds I get the error:

"The application detected an error that prevents changes from being saved" To avoid losing your work, quit iMovie."

Then I i Movie quits and has a long error message, when I reopen iMovie starts again and same issue.