I located my incomplete file folder, there were three, two of which were in my c drive and empty and the other in my E: drive where I installed LW. Is that normal? I manually deleted the files in my incomplete folder but they still appear in the "downloads section" of LW? How come and how do I get rid of these?

Limewire relies on the two files download.dat and download.bak to store details about what files it has in the incomplete folder. so even though you've deleted them from that folder the details are probably still in that download.dat file. You should be able to simply delete them in the LimeWire Library/incomplete files folder and thereby delete the reference to those files from within LimeWire.