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Scheduler Giving Error

<?xml version='1.0' encoding='UTF-8' ?><data><event id='85' ><start_date><![CDATA[2009-07-15 03:00:00]]></start_date><end_date><![CDATA[2009-07-15 04:00:00]]></end_date><text><![CDATA[Meeting With John]]></text><details><![CDATA[]]></details></event></data><br />
<b>Warning</b>: error_log(log.txt) [<a href='function.error-log'>function.error-log</a>]: failed to open stream: Permission denied in <b>/codebase/connector/tools.php</b> on line <b>341</b><br />

What am I doing wrong?

I copied and pasted the sample code, changed the mysql info in event.php and this is the alert that it gives me whenever I load the page after I tried adding the event "meeting with john"

Any help will be appreciated...thanks.

The default code has logging enabled. It seems that in your case, script has no right for file writing. 
You can

a) locate and remove the next line from the php file 
              $scheduler->enable_log("log.txt",true);

or 

b) change the access rights, to the script's folder, so it will be able to write log files.