jQuery Grid Plugin - jqGrid

I have the following two problems:

1). Function navGrid("#pager", {edit: false, add: false, del: false, search: true}) causes a error and displays a small modal window "Warning! Please Select Row?"  error message  when the page is loaded.

2). When the search button at the left bottom corner is clicked, the search panel shows up. But it dose not show up inside the grid, but above the grid instead.

    i). In Firefox, it pushes the grid down a little bit.  Any click on the page closes the searching panel.

   ii). In IE7, it pushes the grid down all the way to the bottom.

I am currently using jqGrid 3.2. Please help. Thank you in advance.

My code is as following:

html:

<table id="gridTest" class="scroll"></table>
<div id="pager" class="scroll" style="text-align:center;"></div>

Javascript:

$("#gridTest")
        .jqGrid({
            url: '/lawyer_file/get_file_list/1',
            datatype: 'json',
            mtype: 'GET',
            multiselect: true,
            toolbar :[true,"bottom"],   //?? how to use this toolbar ??
            colNames: ['Open File Number', 'Buyer', 'Seller'],
            colModel: [
                {name: 'fileNumber', index: 'id', width: 150, sortable: false },
                {name: 'buyer', index: 'buyer', width: 200, sortable: true },
                {name: 'seller', index: 'seller', width: 200, sortable: true }
            ],
            pager: jQuery('#pager'),
            rowNum: 10,
            rowList: [10, 20, 30],
            sortname: 'id',
            sortorder: 'desc',
            viewrecords: true,
            imgpath: '/themes/blue/stylesheets/i/jqGrid',
            caption: 'BUY/SELL Files',
           
            // Add hyperlink to each row.
            loadComplete: function(){
                var ids = $("#gridTest").getDataIDs();
                for (var i=0; i<ids.length; i++) {
                    var rowId = ids[i];
                    var rowData = $("#gridTest").getRowData(rowId);
                   
                    fileLink = "<a href='/lawyer_file/" + ids[i] + "'>" + rowData["fileNumber"] +  "</a>";
                    $("#gridTest").setRowData(rowId, {fileNumber: fileLink})
                }
            }
        })
        .navGrid("#pager", {edit: false, add: false, del: false, search: true})
        .navButtonAdd(
            "#pager",
            { caption: "Close Files",
                onClickButton: function(){
                    alert("closing selected files...");
                }
            }
         );