I'm having the exact same problem with my Sony camera and Sony MiniDV deck. I get the same message in Premiere, but beyond Premiere, all DV capture programs give errors. One program, Stoik Capture, is the most helpful, by saying that there is another program using the camera, so it can't initialize it.
I've tried everything I can possibly think of to fix the problem, and it hasn't budged. I've gone so far as to create a new user, kill every possible background process, including Explorer, and the problem still exists.
The most perplexing aspect of this whole thing is that in My Computer, when I double-click on the camcorder, the video shows up with no problem. That proves that the camera and Firewire connection is just fine.
I'm giving myself until Tuesday to come up with something, and then I'm going to reformat. It wasn't very long ago that I was capturing video just fine, and this is a
really frustrating problem!