If the hard drive is formatted with NTFS, you can limit the amount of disk space a user can utilize using Disk Quotas. Disk Quotas are based on file ownership .
If you want to enable Disk Quotas in XP follow this procedure
Open My Computer and right-click the hard drive you wish to enable the feature on.Select Properties.
Now Click on the Quota tab.Check the Enable quota management checkbox.Check the Deny disk space to users exceeding their quota limit checkbox. This will cause the user to receive an insufficient disk space error their space limit is exceeded.Select the Limit disk space to radio button.Set the amount of disk space to be allocated to the user.Enter value for the Set warning level to option.Click OK.
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