[Plugin: FancyBox for WordPress] Object has no method 'fancybox' error

Hi, I’m trying to use fancybox on the wordpress site. Currently, it is loading the image on a new page.
I’ve done some searches for the past few hours trying to figure this out.
The Developer Tools gives me…
Object [object Object] has no method ‘fancybox’

I went into fancybox.php where the jquery loading php code is in.
From my searches, it seems like most of these errors are caused by jQuery file not loading properly, hence the page not recognizing the fancybox method.
I also checked to see if my jQuery files are being loaded more than once which would result in plug-in conflicts. I have deactivated everything, looked at the Developer Tools to see any and all script files being loaded, went into the admin settings but none of that seems to fix the problem.

I’m using wp 3.2.1 & fancybox 2.7.5
(…which i installed with intructions at http://ww.wp.xz.cn/extend/plugins/fancybox-for-wordpress/ & after which I made very little minor chnages.)

Please help! You can see the test version here:
http://www.dianaalhadid.com/demo/