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Ok I emailed you but I found the problem (I think)
In the Theme folder look in the "forms.css" file. Open with a simple text editor (Notepad on windows).
About 20 lines down you will see the following lines..
label {
display: block;
padding: 0;
background: transparent;
}
You want to either delete the display: block line or comment it out by putting a /* in front of and a */ behind the line. It will look like this..
label {
/* display: block; */
padding: 0;
background: transparent;
}
Although I also emailed you this I thought it was best to post this here in case someone else has the same issue. Let me know if anything else weird happens.