Is this in the standalone version or the Visual Studio plug-in version? How did you change the .NET framework?
There are specific requirements as listed below:
Standalone - only works with .NET 3.5
Visual Studio 2008 - test projects only work with .NET 3.5
Visual Studio 2010 - test projects only work with .NET 4.0
the Telerik team
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Telerik Public Issue Tracking
system and vote to affect the priority of the items