>>>Is there a way to change the directory that the system uses. I tried to use SET TEMP TO C:\VFPTEMP, but it would not recongize TEMP as a command word. Is there anything else I can try??
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>>tmpfiles=C:\VFPTEMP in Config.fpw
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>What I am doing, is creating my own temporary directory inside of the users default temp directory. I need to have the command run from inside the app. I tested this line, and it works inside the app, but is there a more 'proper' way to do this??

Proper place for really temporary files (e.g. cursor) is Windows\Temp folder on local workstations. If you for some reason change it (e.g. in a case of exe running on server) you use Config.fpw. If you want to store some 'temp' file which has user-critical data to be used later on, you can always code real pathname when you create/copy/append etc.