iphoto won't open library

[SamK13]

I had updated my mac book pro with SugarSync, a storage website. Then I got an external hard drive. So I was deleted my files off of SugarSync. Then I realized by doing that I actually deleted the files off of my laptop as well. So I went to time machine, which I had set up earlier that day with my hard drive to recover my pictures and music. Then went to SugarSync and realized I could restore my deleted files and did so. Everything seemed to come back fine. But when I opened iphoto it says "The photo library needs to be upgraded to work with this version of iPhoto. Your photo library will not be readable by previous versions of iPhoto after the upgrade. The upgrade process may take several minutes depending on the number of photos in the library." then gave me the choice to quit or upgrade. choosing upgrade always gives me this answer "You can’t open your current photo library using this version of iPhoto. You have made changes to your photo library using a newer version of iPhoto. Please quit and use the latest version of iPhoto." and the only option then is to quit. Then trying to open my itunes and my library was not there. No photos are in my photo booth either and I can't figure out what to do. Today, when I plugged in my hard drive, now it does not connect to time machine anymore. I'm lost. Help please?