Problem installing Valentina Server

[Michael Krugman]

Hi List:

I have a problem that I can't seem to find any solution for, so I  
thought I would try here.  I have been a longtime user of Valentina  
DB.  We built an installer that installs XYZServer into /Library, and  
XYZServer into /Library/Startupitems.  Since 10.4, each install we do  
gives us a permission error in /Library/Startupitems.  The error is  
generated by OS X.  It gives the option to FIX the permission  
problem.  The user clicks FIX, then another dialog informs the user  
the fix has been completed and they must restart the computer.  When  
the user clicks restart, the system hangs. All of the icons disappear  
and the background is visible.  The system will sit this way until  
manually turning it off, then restarting.  Has anyone else  
experienced this?  If so, can you help me with a solution?  This  
behavior happens every single time and can be easily recreated.   
Thanks in advance...

Mike Krugman