IPod cannot be updated. Required file is in use.

After I upgraded to iTunes 7, whenever I plug my iPod into the computer to sync, I get this error message, "iPod cannot be updated. The required file is in use."
What is this ,a nd how do i correct it? Any clues?
Thanks!

After upgrading to iTunes 7, I too, am getting the error message: "ipod cannot be updated. The required file is in use."
I get this message when I plug my ipod into my Mac (don't use a PC) to sync updated podcasts. Strangely, the updated podcasts DO appear on my ipod, but most of the time, when I try to play them on my ipod, the ipod shuts down.
This is the second time I've had a major problem with my ipod after downloading iTunes upgrades. Very frustrating. And annoying.
Has anyone discovered a fix for this problem?
powerbook G4   Mac OS X (10.3.9)  

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    This worked for me.
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    I just got this error today and its bugging me.
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