I was wondering why Docs&Settings/user/local settings/temp folder has all of my DVD Arch 3 files from previous burns? I thought this isn't the most convenient place to put them because they will either get deleted or take up alot of space. Can I change the default for this? I wonder why Sony did this in the first place instead of picking another directory...

Sony does this for the same reason a lot of apps default to C:My Documents. Sheer stupidity, IMO.
Fortunately this can be changed by going Options - Preferences - Burning and selecting a different drive/folder.

Thanks Mike, I will try that. I had about 50gigs worth of temp files, mostly DVD burns on there!