Thanks for the reply. However in my previous attempts, by stopping all non MS services would that not have also stopped the Nalpeiron Licensing Service?
The update that will not install for me is KB2756872. I don't know if it makes any difference though. I will try the suggestion of only stopping the Nalpeiron Licensing Service by its self. At this point I don't have much faith in it but one never knows until one try's. The MS tech's couldn't make it work. I will have tried this before their second level support calls me back this morning. Either it will work or it won't and I will give them more "what I have tried" info. Unless I can tell them I found the answer online. :)