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Thanks for that explanation.  I tried want you mentioned and it does work as you say, not that I didn't doubt you but it was more me that I doubted.  :?

So you say there is an upcoming version 3.  Will the new version also have a layman's way of resizing and compacting encrypted folders?

Thanks,
Chuck

I have just installed Lion clean (not an upgrade). The espionage version I am using is 2.8.13. I have been using Office 2011 for MAC. I have used espionage for some years on Snow Leopard and have been happy with it.

My issue is now, when I changed the espionage encrypted folders (Documents) from Snow Leopard over to Lion I unencrypted the data and re-encrypted the Documents folders fresh on Lion. (In other words, it is not the container used with Snow Leopard but a fresh encryption done on Lion). I have found that I cannot access the folder by trying to save a new document into the folder (the encrypted folder). I can see the alias icon in the save window but it is grayed out and clicking on it does nothing. Double clicking still will not go into the folder. The folder has already been opened (via password) through the finder. I can go through the finder, I can access the folder and copy and paste any thing in and out. But if I try to enter the folder to open or save a new document in the encrypted folder through the Word save dialogue box, the encrypted folder (alias) will be grayed out and I am unable to get access. Have you run across this problem yet?
Thanks for your help.
Chuck

This is a continuation of the thread, "Does Not Encrypt New Folders" but with a different problem. Thanks for your previous help!

After I reinstalled the Mac OSX (Snow Leopard) in order to get the missing apps, iphoto, ichat and isync, the problem of not encrypting folders  and using the templates is corrected.  I also updated the system again using the Snow Leopard Combo Update. Then rechecked with the update feature. However what I am experiencing now is this.

I used the template to encrypt Mail. I then opened up mail and it worked properly, asking me for a password and then continued to open OK.

1.  I then encrypted AddressBook and iCal using the template, using the same password. Mail now would lock and not open. Espionage would not respond and i needed to Force Quit.  I added Addressbook and iCal to the Applications Association box for Mail. I highlighted each one and made sure the checkmarks were checked for Lock on Quit and Launch at Login.  I also tried unchecking the Launch at Login but still no different response. Mail would still lock Espionage and not open.  I then unencrypted (removed) both iCal and Addressbook folders and Mail was by it self and it opened OK again.  I then encrypted and added just Addressbook, added the Application to the Association box and checked the two checkmarks as well as tried just the Locks on Quit.  Mail once again locked and failed to open.  The autounlock at Login on the main window is also unchecked on all the apps.  I reinstalled v2.8.3 that I still had a copy of to see if it worked properly.  However I am still looking at the same scenario.  At this point I can encrypt Mail by itself but leave Addressbook and iCal un-encrypted and Mail will work OK.  Any new ideas?  Am I just not setting something right or did I also uninstall some other program that was needed?

2.  Now I have never seen the SyncServices encrypted folder before. I was using (v2.8.3) before.  Maybe it was a change from the version I had before. Is that just something new included in the update that you sent me? (v.2.8.8a)

3.  In the preferences under General, what is the Path Finder Compatibility Mode check mark about?  I am unable to locate the explanation to that.

Thanks,
Chuck

Gregg, thanks for your reply.  I reinstalled iphoto, ichat and isync via the Mac OSX disk.  Espionage now encrypts folders OK. I was only trying to save space on the computer to remove apps that I did not use.  However, now I have another issue that I did not have before.  I looked through the threads but could not find anything like it, so I will begin a new thread with another title. "Application Associates Don't Open"  
Thanks, talk to you in the next thread.

I have been using Espionage for some months now and have been happy with it.  I had to deactivate the folders that I was using so I had no folders encrypted. When I tried to redo (encrypt) the folders again, I have been unable to do so. I tried using the template for encrypting Mail and any of the others like Calendar or Address book.  When I press Next, it does nothing.  I also tried dragging folders into the espionage box, but some would not even register.  I Tried using the +folder button and likewise it would not do anything.  Sometimes I was able to drag a folder into the espionage box and it immediately showed up in the right panel, but would not try to encrypt at all.  I rebooted the computer to no avail.  I uninstalled espionage and reinstalled but it did not change. I disabled VirusBarrier, but no change.  Obviously I am looking for some direction and help.
Chuck

Thanks Gregg for the answer.  It was good and straight forward.  However It did take me awhile to figure it out cause I was not getting any results.  Eventually I succeeded but I discovered that maybe somethings were being taken for granted.  If someone else is reading this forum for an answer, I wonder if I may add a couple points to your instructions to clarify a few points incase someone else runs into the same scenario I discovered.

1. The original Folder on the computer needs to be unlocked so that when one finds the replacement file in the backup, you can place the file back in the original folder.
2. The finder preferences under general tab, needs to have "external disks" checked under "show these items on desktop". Until I checked that, I was unable to find the backup folder.
3. Before you open up the backup file, be sure you know where the icon for the original folder is showing on the desktop. Once you open the backup, the two folders may sit side by side with the same name and you then would not know which folder is the backup and which is the original.
Hopefully that would clear anything up for someone else.

Thanks a bunch Gregg.  I am now finally going to put my money down for the product. :D

I really think your product is the cats meow.
I do have a question that I cannot figure out.  I have a 10GB folder which has my documents in.  I have encrypted it and then backed it up to an external hard drive.  If I have one file on the computer that I need to replace from the backup, the way I figure, I cannot retrieve that single file without recovering the complete 10GB folder to the computer, and overwriting the original 10GB folder.  Is there not a way to recover on file at a time from the backup?

Chuck