No you can fire up your menu.lst by these commmands in s Grub prompt.
Code:
root (hd0,7)
configfile /boot/grub/menu.lst
Grub will boot up menu.lst first. If there is something Grub having difficulty with menu.lst then Grub will boot to a Grub prompt as the last resort.
I call the Grub terminal mode "before" a Linux has been booted as Grub prompt. Once a Linux has fired up and operational the same Grub terminal is then a Grub shell. The two are different as you cant boot an operating system with the latter.