LUA Panic Something Went Horribly Wrong Not Enough Memory Fix
This is a very common issue on Gmod servers. Below we will detail a few different potential fixes for this issue.
Finding Bad Addons
Firstly, you should try and find which addons might be causing these issues. You can use a tool such as FProfiler to find out which addons are poorly optimized on your client/server. Most of the time there is an LUA Panic it is associated with 1 or 2 addons. Running these tests will help point you in the right direction.
Remove Old/Unused Addons
Going right along with removing bad addons, make sure you remove old/unused addons from your gmod client as well. No need to be using up memory on stuff you aren't using and probably will never be used again. Do some spring cleaning!
Minimum PC Requirements
Another culprit of this error is your PC specs. You will need a PC with at least 4-8GB in order to run Garry's Mod. If you do have that and are still having these issues, try closing down everything else on your computer and see if it runs without the error. If so you might want to think about keeping more RAM available while playing GMod.
Try running your Garry's Mod on the x64-86 branch.
Change to x64-86 branch
- Right-click on Garry's Mod in the Steam Library.
- Go to Properties.
- Go over to the Betas tabs.
- In the Beta dropdown list, select the x64-86 branch.
Reduce Graphics Settings
Graphics settings could very well be a problem here as well. Try lowering all your graphics settings to low and see if that fixes the issues you are having with LUA Panic.
None of these are a 100% fix BUT this should point you in the right direction for fixing the "LUA Panic Something Went Horribly Wrong" issue.