I can't format HD with XP SP3

Are you trying to wipe the primary partition and start over, do a repair of the existing install, or install over the top of the existing?
The only one of the 3 I just mentioned that will care about versions is the repair.
To reformat, you boot from your windows CD, and at the point where it asks where you want to install you choose the current boot partition and tell it to format.
The installer won't care what version was on there previously.

please install dvd driver cd and software

Step one is tosimply boot from the Windows installation CD and eventually the Windows XPSetup program will begin:After acceptingthe EULA you'll be presented with a list of prior Windows installations:We want to installa fresh copy of Windows XP, so press the Escape key (ESC).The next screen showsus the available drives and partitions:In order to forcea reformat, we're going to delete the destination partition and recreate it.Click on the drivethat you want to install to, and press "D":Press Enterto confirm that you want to delete the partition. Since this is a destructiveoperation (all information on the partition will be erased), Windows XP Setupasks again, just to be sure:Press "L"to delete the partition.Now you've got anunpartitioned hard disk. Windows XP Setup now presents you with the list ofdrives and partitions again:Select theunpartitioned space, and type "C" to create a partition. You'll thenbe asked to enter the of the new partition:The default valueshould be the maximum appropriate for that partition, so simply press ENTERto continue.Setup returns youto the partition selection screen:This time what wasthe unpartitioned space is now "Partition1 [New (Raw)]". Select thatand press ENTER.Windows XP Setupnotices that your destination partition is not formatted:The default is toformat using NTFS, which is just fine for more situations. Press ENTERto let the format begin.Once theformatting is complete, Windows Setup then automatically begins copying filesto the newly formatted partition and continues with additional options andselections related to how you would like your new installation to beconfigured.

there is a registry error in your HD, you need to rectify that by installing any registry cleaner(try Tuneup Utility...downlaod from piratebay)...if that does not solve the issue....only a low level format can clean the HD...format your C drive only if you have multiple partitions in the HD

drivers for xp sp3 may not be compatible with w7 drivers.
running dual partitions? xp/w7? could be drivers are not getting along! sounds like microsoft to me!!
good luck

Contact Dell to purchase a Recovery CD for your model Dell laptop.
The other way is to do a new Windows install. Use a Windows installation CD, it must match the Windows version on the Windows Product Code label on the bottom of your laptop.
You will also need to download the device drivers for your model laptop from the Dell WEB support site, make sure the download the correct XP or Vista version of the drivers that match the Windows version you are installing.

You are using the Dell Resource CD provided by the manufacturer. This CD may not work with new versions of Internet Explorer that come with SP3 installations (if you reinstalled from a Windows XP CD not provided by Dell or if you did the Microsoft SP3 update).
You're only solution would be to use your "Service Tag" number underneath, for laptops (or on the back/side for Desktops), of your computer and go to http://support.dell.com to download the drivers for your specific system. If this computer doesn't have the drivers for you to be able to go to the internet, use a second computer and go to the site. Then download the individual drivers listed (the latest dated drivers will work best).
Once you've downloaded mainly the Video, Network, Audio drivers, use a USB Flash drive (sometimes called USB Key, USB pen drive, USB drive, etc) and copy what's been downloaded onto it. Do not double click on the files while they're on the second computer.
Once on the machine with Windows XP SP3, double click on each downloaded file (1 at a time) and follow the on-screen insctructions to install the driver. You should be fine afterwards. :) Let us know how it goes, and rate us. :)

if you have created recovery disk before the deleting of the recovery partition u can format the drive from your bios and create a new recovery partition using the recovery disk if not if your pc has crashed and your recovery partition is gone u will have to get a new operating system software but if your pc is still stable just run the recovery manager and restore to factory settings and it will put recover partition back on your hard disk

use the Windows Xp CD to format the hhd twice.
install the OS from the CD without partition.
you can always partition the hhd later.

clean install ............. floppy... fdisk deleting all partitions first.... and then making a partition of the whole disk.. then formatting.... then do the install and of course ntfs.... and see how that goes

Robert