What does this option do? It is accessible from the Build menu.
This is an old post, but I thought this was worth mentioning. When coding for Silverlight, I usually have Blend and VS2010 open at the same time. Because of that, sometimes VS2010 freaks out and IntelliSense can't find where stuff is or something, resulting in it falsely highlighting a lot of errors.
Cleaning the solution fixes this.