Was trying to format my c:\ drive to do a clean install of my windows XP home edition Went to the command prompt and typed in Format c: and this came up.
Format cannot run because the volume is in use by another process.Format may run if this volume is dismounted FIRST. All open handles to this volume would then be invalid.
Would you like to FORCE a dismount on this volume (y/n)
When I press the y for yes this comes up.

Cannot lock the drive,the volume is still in use.
Is there anyway to get around all of this and do a format of my hardrive?Those warnings are for a reason. Once you do that, the system is gone.
The proper way is to SET you PC to boot from the CD. When it does you get some kind of message, DEPENDING on what kind of install CD you have.
Have you already made a backup of any data you want?
In the case of the standard version of the XP install CD, there is the OPTION of instantiation without destroying your documents. Otherwise, doing a format and install destroys all data on the selected partition.
What some do is to use a partition manager to create another partition, format it. Then copy documents to the new partition. Then formatg only the system partition and install.You cannot format C: from within C:...nor any other drive/partition from itself...
Use the CD as suggested.