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Rats... I thought I found the problem. I changed the windows firewall  settings to allow AGS and it worked okay... Once.

Using the search didn't yield a solution directly, however somebody mentioned it could be too active virus / malware scanners.
Abstauber recommended downloading ProcessMonitor to find out what's blocking the file.

Good idea there. I'm using avast! as well as the usual Win7 built in plethora of irritating (but necessary I fear) safeguards. I'll try turning off these features bit by bit and let you know if anything works.

Just downloaded and installed 3.2 on a win7 64 bit machine. I have administrative access account. I'm working my way through the tutorials and what not.

I've created a new game from standard template.

The first time I run Build everything is good. I run the game and end using exit icon from GUI.

If I then make any change at all in the AGS Editor and select build again I get the following error:

Unexpected error: The process cannot access the file 'Compiled\AiBS.exe' because it is being used by another process.

I've checked task manager and don't see anything obvious.

If I save, exit and re-launch AGS I can select build again, but only one time before I get the same error.

Any help would be appreciated.