Oops edited on a point at end of last post not realising you'd already replied. lol

Try setting up another account. Call it Test or something & try running LW from there; Setting up new account in OSX

* From what I've seen of Leopard users who have had connection problems after upgrading to Leopard, it seems reinstalling Java offline, else reinstalling the OSX seems to fix it. But the latter is a biggish job. Reinstalling Java may require removing the most recent Java listed file in Receipts folder but only if it says you already have most recent java version.