Following the instructions for making .CHM files work on a network drive, when using example 2 - setting MaxAllowedZone - I see that I have to raise it to 3 - Internet to get CHM files to work.
I would conclude that this means my main shared network folder on the file server (W2K3) is in the "Internet" security zone, even though this should be "Local Intranet".
I suspect that is alos the cause of some of the additional security checks when copying files around or opening them.
Is that an Internet Explorer Setting, or is something else amiss? Would that affect e.g. opening files from the file server through Windows Explorer? Can this setting be changed through group policies?
Local network is a domain with Active Directory running on W2K3 SBS, the file share runs on a separate (virtualized) machine on W2K3.
[edit] Client OS where observed is Windows 7 Ultimate. Other client OS'es in use are XP Pro, Win 7 Pro, and a few Vistas (that are about to be replaced).