Upgrading to Lion Disk issue

Have a MacBook w/intel core 2 duo with Snow Leopard installed. I downloaded the Lion upgrade and when I try to install, got the message "This disk is not formatted to Mac OS Extended (Journaled). Use Disk Utility to enable Journaling or re-format the disk."
I checked Disk Utility and it is setup as Mac OS (Journaled) and Journaling is enabled, and I even did a Verify and Repair disk and there are no issues.
The install will not let me go any further. Do not want to re-start of fear of losing the Lion download I paid for.
Did anyone else expenienced this issue and have any suggestions?
Thanks

Finally got it installed without a reboot. Downloaded OnyX and ran the verify/repair disk and repair permissions. Then went back to the Lion download from the begining and it started the install.
If you don't go back from the begining on the Lion install, you will continue to get the error message about Mac OS Extended (journaled) although you corrected the problem.
With that said, it finally worked and was able to install Lion.
Thanks

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