Everytime Toad starts it checks for updates
RESOLUTION 1.
Toad Options|General, tick off 'Check for updates on startup'
RESOLUTION 2.
1) Close Toad
2) This setting is stored in the settings.xml file ( by default C:\Documents and Settings\your user\Application Data\Quest Software\Toad for DB2 5.3).
Just change the node
<checkNewVersion>true</checkNewVersion>
TO
<checkNewVersion>false</checkNewVersion>