Okay, so still having permission problems, heres my problem explained better. Primary directory: Projects Permissions: Project Admins R/W, Other R-only Secondary Numbered Directories Permissions: Project Admins R/W, Project Engineers/Other R-Only Secondary Non-Numbered Directories or Tertiary Directories under Numbered directories Permissions: R/W all The project directory and the secondary numbered directories are created. The tertiary directories will be created by Project admins (one on win98 and one on winxp pro) The directories that they create must have read/write to everybody. The problem I'm running into currently is that they have taken the permissions from the parent directory. (read /write to project admins, read only to everyone else.) Thanks for the help! Aaron

Ownership and take control permissions to the creators? Check share permissions too.

you might have also clicked on the copy instead of remove on the inheritable click box