I dealt with another customer earlier in the week who also had an issue regarding an element find failure within a frame. I logged a bug and the fix is scheduled to be included in the next internal build.
If you continue to have difficulty on the new version, we'll move forward with more detail and issue reproduction.
the Telerik team
for a live 'What's New in Test Studio R1 2011 SP2' event on Tuesday, July 19 at 2pm EST!
Have you looked at the new Online User Guide
for Telerik Test Studio?