Richard,
Thank you very much for responding. I have reported this issue to Shrapnel customer support as you've suggested.
If it is a bad CD it is very odd. Notmally with a bad CD the install can't get past the bad spot on the disk. The installs both went very smoothly and the install log didn't show any missing files or errors.
I'd hate to wait and wait and get a new CD only to have the same thing happen. I hope you will mention this to Aaron in case he thinks it is the CD check causing the problem.
In the Atari forums I've seem identical reports where the CD protection causes problems on some CD manufacturer drives. I've never had it happen to me before but apparently with the new Temple of Elemental Evil game (cool game, BTW), it is very common. I don't know what product or technique Aaron used but he should be made aware of it.
If others report the same problem I'm having, that's probably it. If I'm the lone voice, it may indeed be a bad CD. I hope that's all it is.
I'm glad to hear you guys agree with Brad. Common sense does previal once in a while.
Thanks,
-ColdSteel