>Another programmer at our firm is receiving error 1002 when attempting to use the FILE() function on a Windows 2000 machine. Seems if the drive does not exist, it throws the error. Is there any known problem with the file() function in fpw26a

Got it... ends up being the cd rom drive - if you use the file() function on it, and there is nothing in the drive, it gives you the error. Does not happen in vfp.