Comment 3 for bug 980424

That bug affected me, too. I had changed the user transmission-daemon was running (by adding "USER=myuser" in /etc/default/transmission-daemon and changing the owner of several transmission files (all /etc/transmission-daemon and /var/lib/transmission-daemon folders and their contents). The upgrade changed those files to belong to root/debian-transmission. Changing them again to 'myuser' made transmission-daemon work again for me.