I burned a support incident to resolve this. There is not yet a public KB.
Spell Check was not working in any office 2007 app. I installed 2007 over
Office 2003 in case that matters.

Resolution:
run "Regedit"
Traverse through the tree
HKEY_CURRENT_USER
Software
Microsoft
Shared Tools
Proofing Tools
1.0
Override
en-US (english, US in my case, your language may vary)
There are three entries. (default) dll, and lex
Rename or delete DLL and LEX (rightclick, rename) to something like "oldDLL"

Any document or file that I had saved during this problem, I had to open the
doc, click the round start button in the app, then click the "Word Options"
button on the bottom of the dialog box, then Proofing, then Check Document
button, yes. The red squigglies will appear.

Good luck! Took me 3 hours on a PSS call to resolve this. I hope I save
someone else the trouble.

"Dan" wrote in message
...
Yesterday, spell check stopped working in all office apps. I've
re-installed, checked language and proofing settings, read KBs, but
nothing helps.
Thanks,
Dan