Hey Smarty is turning apostrophes and quotation marks into weird characters like these: ’ and “ How can I fix that?
I think this is not a Smarty fault, but an encoding problem. Try to change your browser encoding and see how it looks. It seems your template is unicode, but page displayed in the different encoding.
I've already said one of the methods: If everything displayed correctly switched to utf-8, then this is utf-8. You edit your template files, so you have to know encoding of the files created by the editor you use.