hank, Do you confirmed that:
- You first installed Ubuntu on a Wubi installation, and the upgrade of grub 
failed (a window (which ?) hang and you have to forcibly close it) 
- You then installed 10.04 from scratch in a native installation, upgrade grub 
and all it ok 

?

** Changed in: grub2 (Ubuntu)
       Status: Confirmed => Incomplete

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grub-pc failed to install/upgrade: exit status 1 - frontend: Fatal IO error 11 
(Resource temporarily unavailable) on X server :0.0.
https://bugs.launchpad.net/bugs/511463
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