Yes, we've been running the current version of TypeStyler extensively on Lion on several Macs and have not experienced any issues whatsoever.
Simply restarting your computer usually takes care of this. If the TypeStyler icon is bouncing on your Dock you'll need to force TypeStyler to quit before restarting your computer. (Choose "Force Quit" from the Apple menu.)
In this case the solution is to throw away your current TypeStyler and replace it with a fresh copy of the latest TypeStyler 11.7. Click here to download the latest TypeStyler now.
Please contact us if you have trouble, but we haven't had any reports that a restart or reinstall has not resolved.