wiz561, when you start the install, have you tried to run as Administrator? Try logging on as administrator and then run the install. also are you using VSE 8.8 with SP1 repost? Do you use ePO? If you use ePO I would suggest install the agent from the console first, thsn push out VSE 8.8. the user you use in ePO needs to be a domain admin.
Hope this helps.
Well, I finally got it installed. I received the installation from our help desk on a cd. I downloaded the eval from the web site, and that installed just fine. I uninstalled it, and then also noticed that the failing install's directory was 'encrypted'. I decrypted it, reinstalled it, and the install went fine.