Sh*t!  Should use $(srcdir)/LICENSE of course.
diff --git a/Makefile.in b/Makefile.in
index 2751d4e..f1d37ed 100644
--- a/Makefile.in
+++ b/Makefile.in
@@ -321,7 +321,7 @@
 				esac; \
 			done; \
 		done
-		$(INSTALL_DATA) LICENSE $(LIBDEST)/LICENSE.txt
+		$(INSTALL_DATA) $(srcdir)/LICENSE $(LIBDEST)/LICENSE.txt
 		PYTHONPATH=$(LIBDEST) \
 			./python$(EXE) -tt $(LIBDEST)/compileall.py $(LIBDEST)
 		PYTHONPATH=$(LIBDEST) \