Hi vegxr,
LOTR is on holidays at the moment
Open Bearshare, click on Help & see whether there's an 'about bearshare' option or something like that. Then you should be able to see which version you're using.
Sounds to me like you're using one of the newer, paid versions of BS (which we don't offer support for since they don't use the Gnutella network).
LOTR gives an explanation here (click on link):
I paid and now "LICENSE REQUIRED"! Help!