Can Someone clarify this for me.

Dear customer, http://www.language.ws/cgi-bin/test.cgi works. Please make
sure that the cgi is chmodded 755 and that the owner is the siteowner''s
username and psacln group. Also, make sure that you upload with ascii
transfer. If you are still having problems after verfiying these, please
open another ticket and give the exact url and unix path of a cgi that is
not working.

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Thank you for Choosing RackShack
support@rackshack.net

Could you post the actually cgi error?

Make sure the owner of the script is the same as the owner of the site. Also make sure that the permissions are set 755 ....
try running the script at the command line by typing
perl scriptname

What I do not get is the owner Part. What does that meen.
Shouldn't I be able to upload the cgi or perl script into the cgi bin and it be able to work with the right permissioms and file format.

All files on *nix are driven by owners. Thus you to upload a file for a domain you should upload it using the FTP of the client... either that or upload it as admin / root and the chown it to the client

It is a security risk to not have perl set to the owners username as otherwise they can access all kinds of stuff you don't want them to.

However you haven't given us any details as to the error that you are actually getting... an Internal Server Error can mean just about anything... take a look in your error_log and tell us that it says.