Hi bgpilot1,
I encountered this error as well when I tried to install on my first server. I then searched and read on the forum for a while and discovered this was a server issue.
allow_url_include should be Off is a required feature for Dolphin to work. Please check Dolphin's specifications here.
I would recommend that you contact your host provider and request that they turn them off for you.
I did find a few posts here in the forum and via google and tried those solutions, but they did not work for me.
I finally ended up going with Boonex's recommended host provider, HostForWeb.com and did not have any issues with the installation.
I posted earlier about my experience.
Hope that helps,
Damion