Chuck,
I called KATO for you and received the following email reply:
"Good morning:
Sorry to have missed your call.
Short circuits involving the double crossover are the result of reverse loop. This applies to both DC and DCC.
The backing that comes with the switch, opens out twice its size, and includes a lot of useful information in setting up the switch.
You must have ALL four switches either set to divert into the crossing, OR, ALL four switches set for straight through.
It's OK for you to give me a call back. Best time would be between 4:30 and 5 PM today. Before that, I will be involved in a project that I won't be able to take leave of.
Best regards,
Dee Gilbert,
Repairs
KATO USA, Inc.
repairs@katousa.com
http://www.katousa.com"
In other words, there must be some info inside the packaging that you missed and the note above about the switch setting is interesting too. Hope this helps.
TheAnswerFadda B-)