Mark Richman has found a solution to a bug when upgrading a .NET 2.0 Compiled site to .NET 3.5 and using LINQ.
Check it out
http://markrichman.com/post/Visual-Studio-2008-Bug-Upgrading-web-site-from-Visual-Studio-2005-compiler-error-CS1519.aspx
Enjoy
Read the complete post at http://feeds.feedburner.com/~r/DavidYancey/~3/238990977/net-2-0-upgrade-to-3-5-bug-with-linq.aspx