Problem Upgrading to WordPress 3.2.1

This message (see below) appears at the top of the blog as well as the dashboard.

http://mtshastaresort.com/blog/

We cannot update to WordPress 3.2.1

Are the two issues related?

What to do?

Need specific steps, as we are not tech savy.

Thanks.

P.S. Cannot find where to locate the current WP version we are using.

Message that appears:

Warning: call_user_func_array() [function.call-user-func-array]: First argument is expected to be a valid callback, ‘wp_maybe_load_embeds’ was given in /data/23/2/82/101/2245916/user/2467834/htdocs/blog/wp-includes/plugin.php on line 395