jQuery Grid Plugin - jqGrid

I know this error usually means that the js cannot be found.  I am trying to run the example.html page, which calls the example.php script.  I keep getting the error above, though Firebug shows that the jqGrid.js file is being loaded.  I've tried loading the .min file as well - then I get the error ".jgrid has no properties."

If i just run the example.php page, i do get output.  I'm running this with jquery-1.3.2, though I've tried 1.3.2.min and 1.2.6 with no luck.  I know it is something simple....