I downloaded and installed the game directly from here:
https://www.aldorlea.org/laxiusforce2.php ...I even tried again by uninstalling the game and reinstalling from the same location, but it's still doing it.
I'm trying to do this after destroying Arvendel in LF2, which means Djarma isn't part of the team yet. Not sure if the game expects him to be. (I can't check the existence of the file myself since the Graphics folder only has a Pictures folder with a Thumbs file in it, not actual pictures. I opened that Thumbs file in a thumb.db viewer and it only has three pictures in it: intro-2, splash1 and splash2... the latter a remnant of Big Fish.)
EDIT: I discovered the reason! If you try to pull the sword when Kratin doesn't have enough strength (has to be over 900), the game seems to expect Djarma to say something. I first tried when Kratin had around 800 STR and got the crash; when I did over 900, it worked.