Hello, The latest version of Superfish uses the latest version of the jQuery library which is version 1.2.1, as you said. I'm not sure why you have another file called jquery.js, but you should probably just remove that as you won't need to include two jQuery files. Simply include the Superfish css file, the jQuery 1.2.1 file and the Superfish plugin file (superfish.js) and you will be all set.
Joel Birch.