>My backup Netware Admin has called me with an interesting problem. ...

Yes, we've seen something like this. The rights are probably associated with the specific file not the directory. Fox will delete, rename and do various other things during pack, reindex and, well you know the commands.

As soon as your app reindexs for example the cdx gets created again and by this time, anyone who had been given rights to that file will lose them. Even though the file is the same name.

paul