The error is caused by a known limitation in SQL Server 2005. This version of SQL server does not allow a row which is larger than 8KB (the size of 1 page):
Upgrade SQL server to SQL server 2008 or a later version. Versions after SQL Server 2005 do not have a limitation of 8060 bytes per row.
If it is not possible to upgrade SQL server, StarTeam ships with a script to delete redundant or disabled custom columns or fields,
C:\Program Files\Borland\StarTeam Server 2009\DBScripts\Sqlserver_Scripts\starteam_sqlserver_ddf2.sql
The script will look for any disabled fields marked in the StarTeam database and remove them.
So in order for this script to work, disable any fields that are no longer required and then run the script to remove them from the database.