The following javascript error occurs when trying to use the Telerik controls and you haven't updated your ASP.NET (2.0) web.config file correctly.
Error: 'Telerik' is undefined
To fix make sure the following lines are within the <system.web> section of your web.config file:
<httpHandlers>
<add verb="GET,HEAD" path="ScriptResource.axd" type="System.Web.Handlers.ScriptResourceHandler, System.Web.Extensions, Version=1.0.61025.0, Culture=neutral, PublicKeyToken=31bf3856ad364e35" validate="false" />
<add path="ChartImage.axd" verb="*" type="Telerik.Web.UI.ChartHttpHandler, Telerik.Web.UI, Version=2008.1.515.20, Culture=neutral, PublicKeyToken=121fae78165ba3d4" validate="false" />
<add path="Telerik.Web.UI.WebResource.axd" verb="*" type="Telerik.Web.UI.WebResource, Telerik.Web.UI, Version=2008.1.515.20, Culture=neutral, PublicKeyToken=121fae78165ba3d4" validate="false" />
</httpHandlers>
In my case I was missing the ScriptResource.axd line. Also, you only need the ChartImage.axd line if you're using the chart control.
HTH
Tim