A user reported the following error trying to start an application via WebStart on Windows 7:
Could not load file/URL specified: C:\Users\Höfn\AppData...
The Windows locale is Iceland and the 'Language for non-Unicode programs' setting is Icelandic. Note the Windows username is supposed to be "Höfn", but the "ö" character looks corrupted in the error message so it seems the path can not contain unicode characters.
The application worked fine prior to the latest Java update.
I tried deleting the Java cache but the problem persisted.
I solved the problem (temporarily) by uninstalling the latest Java update and installing JRE 7 update 60.
I figured more people would run into this problem and require a temporary solution.