Update, I encountered a problem when including these location elements by default. It breaks NeatUpload multi file selection and upload and causes script errors on pages that use the NeatUpload multi file control.
Therefore I'm backing this change out of the main Web.config files used for Full Trust hosting (in the source code repository since this change has not made it into an offical release package yet). I will leave it in the Web.config file files for medium trust since NeatUpload cannot work in medium trust anyway.
Our packages for MS SQL and SQL CE ship pre-configured for medium trust so it will be there by default in the next release but it will not be there in packages for other databases nor in the Web.fulltrust.config files since it causes this problem.
I've got my eye on an alternative upload solution, but unfortunately it does not support multi file selection in IE whereas NeatUpload does support it but uses Flash (swfupload) to make multi file selection possible. Once IE 10 ships it should be able to do multi file selection without Flash and at that point we may move away from NeatUpload. At that point we can re-visit this and put the locaiton elements back in by default.
Best,
Joe