It's not what I would call 'fully compatible' with 7 yet. I just tried it on my laptop, with what could have been disastrous results.
I was using it on a dual boot acer aspire 5610, dual boot, Win 7 7000 and Vista sp2 RC with 7 being primary.
I'd shrunk my Vista volume by 6 gig,(using the disk management snapin) and then tried to use Paragon to add it to my 7 volume. Part way through the operation, it BSODed, blanked the display, and had to go into recovery mode.
Fortunatly, the recovery cd worked ( eventually ), but it was touch and go.
Make sure that you have the rescue CD burnt before you attempt using Paragon, as it can be difficult to find the ISO on their website and have your 7 DVD ready.