We’re seeing a lot of complaints that the rule to autoreply with a template fails in Outlook 2007 with a "Rules in error" message.

It appears to be related to the update in KB969907. That update applies to meeting request issues so it shouldn't negatively affect most users that need autoreply with template to work. So… if you need to use autoreply with template rules and the rule errors, uninstall KB969907 and see if that fixes it.

The problems fixed by the update are detailed in the following KB article.
http://support.microsoft.com/kb/969907