Steps to fix the problems:
1. Do a windowsupdate.
2. Install
Java (MSN 7 seems to need this).
3. Reboot.
4. Download and install
Windows messenger 5.1
(make sure there are no programs running wich prevent software from installing).
5. Remove all folders pointing towards MSN Messenger (MSN Messenger folder in programfiles folder).
6. Redownload
MSN Messenger 7 beta or MSN 6.2 and install on account with adminpriviledges, after that install on useraccount if need be
(make sure there are no programs running wich prevent software from installing).
I hope this helps.