Derek,

You're not doing anything worng, you just can't get what you want.

Review your scenario;

form A is mdoal (there fore no other form can get focus from it)
You launch form B from Form A

Focus is NOT retained by form B because it is non modal, so fopcus is retianed by Form A

You cannot click to form B because Form A is modal!

If you want Form B and Form A to both be available simultaneously then they both shoudl be non-modal.