Syncing and transferring Purchases from iTouch 4G Freezes iTunes

I recently purchased an app at the iTunes App Store (101 GamesUtilities)and when I connected my iTouch to my PC, the sync began. iTunes indicated that "Transferring Purchases from iTouch4 Step 3 of 4 Copying GameUtilities". Usually it takes a short time to complete this process so I clicked in a vacate area of iTunes and discovered that iTunes stopped responding and was frozen. I had to use control-alt-delete to close the iTunes app and disconnected the iTouch from the computer. I repeated the process of connecting my device to the PC and the iTunes repeatedly froze.
I then rebooted my computer, downloaded iTunes 10.1 and intended to install but got 2 options for action which was repair or uninstall. So I chose repair. This did not resolve the problem. I did not get any error message during this process when it finally froze. Can someone help? I also went to GameUtilities website to report the problem in event that the situation directly connected to that software.

If you use the search function on the right and search the iPod Touch forum for:
itunes AND freeze
you will see previous discussions on your problem. However, I looked at some of them and se no solution.
I would try uninstalling iTunes and then reinstall it vice just installing it over the existing one.

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