If I try to uninstall current version of License Manager (ver 9.3.1) I get the following message:
This a problem because now I can't install the new version of License Manager for ArcGIS 10. Do you know the solution?
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Generally what happens in that the License Manager sets up your log files to be in a dedicated location, if you are using an operating system newer than XP, it can try to put the logs into your local profile. If then you attempt to install as Administrator it will error.
I would suggest exiting from the installation wizard and then file scanning to the installer location, right click on the installer and then "Run as Administrator" even if you already have admin rights. This should fix your issue.
Repair (or re-install) License Manager (on ArcGIS DVD) then remove it via control panel add remove programs. Will replace missing 'Install.log'