Hmmm. This looks like a problem :( GlassFish Launcher uses this option which is not available on non-Sun VM's.
Can you look for install-dir/lib/processlauncher.xml and comment out:
<sysproperty key="-XX:+UnlockDiagnosticVMOptions"/>
<sysproperty key="-XX:+LogVMOutput"/>
<sysproperty key="-XX:LogFile" value="${com.sun.aas.instanceRoot}/logs/jvm.log"/>
Regards,
Kedar
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