This is very similar to what I have experienced just today.
I have been using 1.8c for 5 - 6 weeks with no problems what so ever. (MacOS 9.2.2, LimeWire 1.8c, QuickTime 5.0.2, iTunes 2.0.2) Wasn't even aware of the new Limewire 2.0 version until we downloading Limewire for a second Mac. (MacOS 9.2.2, LimeWire 2.0, QuickTime 5.0.2, iTunes 1.x)
Limewire has been working fine on both machines and I decided to upgrade from 1.8c to 2.0 for the first machine. Seemed to go fine with the install but now when I click on "launch" for an MP3 I get an error message.
"The folder 'plug-ins' cannot be found, and is required. Please reinstall the application".
I did. I used the uninstaller (found in the Limewire folder) to uninstall both of the then installed 1.8c and 2.0 versions of Limewire. Then I downloaded and installed 2.0 again.
The same results.
Please help!!