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#11
If you don't need those files, then you can boot from the Win7 DVD, use Custom>Advanced drive tools to delete all, create New partition(s) as you wish, and then format before installing. This should wipe out the GRUB. If you wanted to make sure, use DBAN to zero out the drive first, but you will need to use the Upgrade workaround since Win7 DVD will then not see Vista to allow Upgrade key.
But if you need the files, you can avoid the GRUB by unplugging your Vista drive, installing Win7 to a new drive (using the Upgrade workaround to get it to accept key on a blank drive) then plugging back in the Vista drive long enough to copy over the files.
But if GRUB interferes with booting into Win7 once you plug it back in, you may need to use Partition Wizard disk or Diskpart commands from the WIn7 DVD repair console to Set the Vista HD Inactive. If that fails to start Win7, then you will have to unplug the Vista drive and find another way to get your files off.
Others may be able to advise you better how to get that GRUB off of there to allow Win7 to correctly establish a dual boot with Vista.