The Raster Design license update corrects an issue in the 2010 release. The issue is that without the update you must have matching software install types (network or standalone). For example you have Civil 3D 2010 licensed on the local machine and Raster Design licensed from the server they will not work together without this hotfix. However if you have a standalone Civil 3D license and you have a standalone Raster Design license then you would not need the hotfix and they would work together fine.
Document listing - DL13435443
The exact text from Autodesk is as follows
Issues Addressed by this Hotfix:
· Raster Design Network Deployment:This hotfix updates licensing files which allow AutoCAD Raster Design 2010 network deployments to be installed with supported standalone AutoCAD applications.
This hotfix will not allow a standalone Raster Design 2010 installation to install with network deployments of host applications.
· Raster Design Features with AutoCAD Civil 3D and AutoCAD Civil 2010:This hotfix also addresses instability issues with Raster Design features (i.e. Imanage) when installed with AutoCAD Civil 3D 2010.
However there has also been a new issue that is tied to this issue. The Raster Design license will still not get a license if the 2 products are not installed from the same media type. So this means if you have installed Civil 3D 2010 from a DVD and then install Raster Design from a deployment then they will not work together. You must install BOTH Civil 3D and Raster Design from a deployment OR a DVD method.