<p>Using .Net what limitations (if any) are there in using the XmlSerializer?
For example, can you serialize Images to XML?</p>

Not sure if there's any limitation.. But there was a memory leak bug in XmlSerialization in .NET 1.1, you sort of had to create a cache serializer object to get around with this issue... In fact, Im not sure if this issue has been fixed in .net 2.0 or newer...