This is generally not the case. Unix lets you continue to access a file after it has been deleted, so long as the process hangs on to a file descriptor. This lets you replace programs in use, without running into the same problems that platforms like Windows have.
Though this is true, I discourage You to upgrade a running system. I tried to upgarde 5.3-RELEASE to 5-STABLE without booting to single user mode. I simply sent a TERM signal to most of the processes, and tried to make installworld. There was some error messages, the system crashed and didn't boot anymore...
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