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Just installed a fresh copy of NT Thunderstone. When I try to run tsql or even texis.exe, I get a message about the "Monitor Process Failed". I've seen this before on other installs in the past-- do I need to find a license file or something? There's once called license.key in the morph3 directory, but it doesn't seem to be doing the trick?
You should check the monitor.log file to see if it gives any indication as to the problem. It is most likely a permission problem somewhere.