Grady, I do not understand your code, it seems that you will end up updating just one record in the Results cursor/table? Also, it is better (IMO) to use REPLACE IN instead of moving back and forth the selected area. Lastly, if you have a relationship between Entity and Results the whole thing can be done with one UPDATE - SQL command without the need to have a loop at all, but for starters I would change that code to something like this:

SELECT Entity
SCAN FOR UPPER(ALLTRIM(WordUsed)) $ UPPER(Caught2)
    REPLACE Entity WITH Entity.WordUsed IN Results && This does not make much sense to me
ENDSCAN

[Update]
Sorry about not disregarding your post, missed that part.
[/Update]

>What causes this to happen? (Missing line of code) Fixed - please disregard this post.
>
>SELECT entity
>FOR TheCount = 1 TO entitycount
>GOTO TheCount First pass error occurs here RECORD IS OUT OF RANGE - Yet there is data in the table and there is a record with text in the first position. no index
>IF UPPER(ALLTRIM(WordUsed)) $ UPPER(Caught2)
>SELECT results
>REPLACE entity WITH entity.WordUsed
>Select entity *** This line was missing
>? entity.WordUsed && test
>ENDIF
>NEXT TheCount