I have had this same problem with a Eltron TLP2242 label printer. We print on a 3x1 mailing label. I use NT4.0. I loaded the eltron driver for NT4 and set the label size to 3x2. By the way the printer is shared from Win95 system.
Hope this helps

<snip>"Detail band is too large" when printing a label on a Eltron LP2042 on some (not all) Windows NT machines.