Nah, you can just increase the memory size by going to "Get Info" and putting in a new memory value for Finder. No RedEdit necessary.

Now, it's hard to say if the Finder memory space was really too small (I find that unlikely) or this was the best way the Mac had to tell you something was wrong when it encountered a situation it has no idea how to handle (kinda like my PCMCIA problem with the 5xx series, an F-line instruction should have nothing to do with a PCMCIA module but its throwing up the best error it could find under the circumstances)