What steps will reproduce the problem?
1.  I have tried to uninstall and reinstall both versions  to no avail
2. I have tried installing the .NET from Microsoft and that didnt work
3. I tried to clear the %userprofile%\Local Settings\Apps and that didnt work either

What is the expected output? What do you see instead?
v3.whatever doesnt run and v4 wont install due to .NET

What version of the product are you using?
trying to upgrade to v4 i am running xp

Do you have an error log of what happened?
Component .NET Framework Client Profile has failed to install with the following error message:
"Fatal error during installation. "

The following components failed to install:
- .NET Framework Client Profile

See the setup log file located at 'C:\DOCUME~1\RyEl\LOCALS~1\Temp\VSDC7E.tmp\install.log' for more information.

Please provide any additional information below.
The following properties have been set:
Property: [AdminUser] = true {boolean}
Property: [ProcessorArchitecture] = Intel {string}
Property: [VersionNT] = 5.1.2 {version}
Running checks for package 'Windows Installer 3.1', phase BuildList
The following properties have been set for package 'Windows Installer 3.1':
Running checks for command 'WindowsInstaller3_1\WindowsInstaller-KB893803-v2-x86.exe'
Result of running operator 'VersionGreaterThanOrEqualTo' on property 'VersionMsi' and value '3.1': true
Result of checks for command 'WindowsInstaller3_1\WindowsInstaller-KB893803-v2-x86.exe' is 'Bypass'
'Windows Installer 3.1' RunCheck result: No Install Needed
Running checks for package '.NET Framework Client Profile', phase BuildList
Reading value 'Install' of registry key 'HKLM\SOFTWARE\Microsoft\NET Framework Setup\DotNetClient\v3.5'
Unable to read registry value
Not setting value for property 'DotNetFxClient35InstallSuccess'
The following properties have been set for package '.NET Framework Client Profile':
Running checks for command 'DotNetFx35Client\DotNetFx35ClientSetup.exe'
Skipping ByPassIf because Property 'DotNetFxClient35InstallSuccess' was not defined
Result of running operator 'ValueEqualTo' on property 'AdminUser' and value 'false': false
Result of running operator 'ValueExists' on property 'Version9x': false
Result of running operator 'VersionLessThan' on property 'VersionNT' and value '5.1.2': false
Result of running operator 'VersionEqualTo' on property 'VersionNT' and value '5.2.0': false
Result of running operator 'ValueEqualTo' on property 'ProcessorArchitecture' and value 'IA64': false
Result of checks for command 'DotNetFx35Client\DotNetFx35ClientSetup.exe' is 'Install'
'.NET Framework Client Profile' RunCheck result: Install Needed
EULA for components '.NET Framework Client Profile' was accepted.
Copying files to temporary directory "C:\DOCUME~1\RyEl\LOCALS~1\Temp\VSDC7E.tmp\"
Downloading files to "C:\DOCUME~1\RyEl\LOCALS~1\Temp\VSDC7E.tmp\"
(11/27/2009 3:59:13 PM) Downloading 'DotNetFx35Client\DotNetFx35ClientSetup.exe' from 'http://go.microsoft.com/fwlink/?LinkId=119637' to 'C:\DOCUME~1\RyEl\LOCALS~1\Temp\VSDC7E.tmp\'
Download completed at 11/27/2009 3:59:13 PM
Verifying file integrity of C:\DOCUME~1\RyEl\LOCALS~1\Temp\VSDC7E.tmp\DotNetFx35Client\DotNetFx35ClientSetup.exe
WinVerifyTrust returned 0
File trusted
Running checks for package '.NET Framework Client Profile', phase BeforePackage
Reading value 'Install' of registry key 'HKLM\SOFTWARE\Microsoft\NET Framework Setup\DotNetClient\v3.5'
Unable to read registry value
Not setting value for property 'DotNetFxClient35InstallSuccess'
The following properties have been set for package '.NET Framework Client Profile':
Running checks for command 'DotNetFx35Client\DotNetFx35ClientSetup.exe'
Skipping ByPassIf because Property 'DotNetFxClient35InstallSuccess' was not defined
Result of running operator 'ValueEqualTo' on property 'AdminUser' and value 'false': false
Result of running operator 'ValueExists' on property 'Version9x': false
Result of running operator 'VersionLessThan' on property 'VersionNT' and value '5.1.2': false
Result of running operator 'VersionEqualTo' on property 'VersionNT' and value '5.2.0': false
Result of running operator 'ValueEqualTo' on property 'ProcessorArchitecture' and value 'IA64': false
Result of checks for command 'DotNetFx35Client\DotNetFx35ClientSetup.exe' is 'Install'
'.NET Framework Client Profile' RunCheck result: Install Needed
Verifying file integrity of C:\DOCUME~1\RyEl\LOCALS~1\Temp\VSDC7E.tmp\DotNetFx35Client\DotNetFx35ClientSetup.exe
WinVerifyTrust returned 0
File trusted
Installing using command 'C:\DOCUME~1\RyEl\LOCALS~1\Temp\VSDC7E.tmp\DotNetFx35Client\DotNetFx35ClientSetup.exe' and parameters ' /lang:enu /passive /norestart'
Process exited with code 1603
Status of package '.NET Framework Client Profile' after install is 'InstallFailed'

Please Help Thanks