I made the plunge to upgrade to 5.3 today from 5.2. A couple of notes for everyone going through the upgrade...

I cleared the agent logs first per the upgrade guide (here). The two upgrade cycles went pretty quick (15mins each, < 500 clients, running in VMWare)

Added the new kbin and pushed the client out to all systems. No issues with the auto-upgrade (mixed x86, x64 Win7 environment).
New Location/Folders - not in release notes?
Agent Install Location: C:\Program Files\Dell\KACE ("Program Files (x86)" on 64-bit)
Scripts/Logs Location: C:\ProgramData\Dell\KACE

Custom Inventory Rules - you may want to fix these before the upgrade!
ShellCommandTextReturn does not work the same anymore
5.2 = ShellCommandTextReturn(type c:\file.txt)
5.3 = ShellCommandTextReturn(cmd /c type c:\file.txt)

Multiple Conditions - In 5.2, you could have multiple conditions in an inventory rule connected with OR or AND. I had put carriage returns after OR or AND so i could read the conditions easier in the browser and they were parsed correctly. However, in 5.3, the conditions are not parsed correctly if you have a carriage return after "OR" or "AND", causing the Custom Inventory Rule to fail. It worked correctly as soon as all conditions were on one line.
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