Error 11 means "The specified filename is invalid." Is there a filename listed when that error comes up?
 
You can look the error up yourself by going to Start -> Programs -> Pervasive -> Documentation -> Pervasive.SQL 9 (Or whatever version you have). Once that loads click the index tab and scroll down until you find 11. Click on that and read it.
 
My guess is that you've got spaces in your filename somewhere and dba doesn't like it.  
 
PS: From your description I gather you are using the client/server version of Pervasive? Or are you using workgroup?

Quote from runner1717 on 05/16/08 at 08:41:34:

 
You need the client version of PervasiveSQL on the client. Then you map a drive letter (doesn't matter what it is) and create a link directly to the DBA executable. At least, you can do that in DBA Classic. In Evo you run the evoerpsetup program from the server and it sets up a local C:\ISTS folder on the client.
 
I am unaware of any problem if the drive letter to DBA changes. At least, so long as it does not change while the program is running. Especially if you use C/S because then all data files just stay on the server and the drive mapping doesn't matter.