2.5 years later, and this bug appears to be unfixed.

I'm doing 10.04 LTS upgrade testing to 12.04.  I installed 10.04 and
then tell it to install updates (before upgrading to 12.04).  During the
update, I end up stuck at "Configuring grub-pc" window in update-
manager.  It will not let me continue unless I select "continue without
installing GRUB?"

This is really bad for less technical users.

** Changed in: grub2 (Ubuntu)
   Importance: Undecided => High

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https://bugs.launchpad.net/bugs/426239

Title:
  grub-pc hangs while package is configured

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