Oh yuck. I guess here are the things I would try next:
- Have the user remove the form from his InfoPath cache (File > New, then right click the form & remove it if it is present)
- Repair Office
- Have a different user sign into the machine to see if it works under a different profile
My guess is this is something on the machine, but these vague catastrophic failure errors are super hard to track, which I'm sure you already realize....