Go to "gameconfigstore" (or simply search it with ctrl+f) under HKEY_CURRENT_USER.

Search with ctrl+F below that for "killerinstinct".



Change the very first number on the "parent" value from 01 to 00. It changes back when you run it again, so repeat if necessary.

Enter the game settings, and set it to fullscreen.

The game should work from now on. I had audio issues at first but that's cause I set the bits/hz on my sound settings to something obscure trying to fix a lesser bug in another game. I set it to 24bit 48000hz and that worked out.