First, I just wanted Alias to check mail, but screw that, Ill justask you guys: Can I, using windows, allocate limited space to users on local machine? My girls sisters just keep flooding the drive with stuff and breaking windows all the time, even thou they have like 5 other drives to do so.

No, I wont reinstall the windows and do the ... one HDD from many .. Thing. And I wont install Linux, even thou that would probably solve the issue pretty easily.

Yeah I also know that, but she will still be able to write into her documents, save stuff at desktop, which, of course, sucks space directly from system drive. If she was olny limited to, say, 1 GB, issue would solve itself.

This might help: http://www.ampercent.com/prevent-restrict-hard-disk-access-denied/6625/

Well... As I said above :-/ Yes, this! God Im stupid, I didnt even know its that simple and I work with the damn OS for years now. Thanks a lot :-)

Alternately you could buy one of these to deter all computer usage.

Yes! That's the office Secret Santa solved now! :)

Bit late to the party but I'd concur with the disk quota suggestion for your situationHehe I remember the pens of those, a mate once gave me one as a joke and I just kept the button pressed down till he complained I was going to drain the battery

Yeah most of the time the shock is more of a surprise than actual pain. Nothing worse than sticking a 9V to your tongue. After you leave you hand on it you realize that all you can really feel is a slight buzzing.
Now if you really want to shock someone ask them to touch one of those lumin disks with a piece of metal. :)