Had this error in both the 3522 and 3540 builds.
No amount of uninstalling and reinstalling Parallels would fix the problem.
After trying to telnet to localhost 64000 and getting an error despite netstat showing the port was listening I had a look in /etc/hosts
Much to my surprise it had the following entry: 127.0.01 localhost
Changing this to the proper value of 127.0.0.1 localhost fixed the error for me and allowed Parallels to start.
No amount of uninstalling and reinstalling Parallels would fix the problem.
After trying to telnet to localhost 64000 and getting an error despite netstat showing the port was listening I had a look in /etc/hosts
Much to my surprise it had the following entry: 127.0.01 localhost
Changing this to the proper value of 127.0.0.1 localhost fixed the error for me and allowed Parallels to start.