I ran Dual Boot (SL & L) for 3 months then did a clean install of Lion, FCS3 works fine with Lion and so does Livetype, just pop the FCS2 disk in, explore the contents, unpack the LT application and drag to the Final Cut Studio Application folder in Lion. Do a backup of all your LT templates first though, then create a folder in Lion – Library/Application Support/Livetype and drop all your templates, LiveFonts etc in there.