I think the problem lies with uid’s but im not sure from the server I can log in as AD users but I can no longer set folders to be owned by them. (this happened while I was working on my original problem, I believe I changed everything back to the way I had it but I dont know right now)

Never mind I have fixed my problem there were some errors in the set up f the sharepoint it turns out, I stumbled across them yesterday,

Mactroll: thanks for responding to my question:)

The solution
Verifying sharing settings in WGM to include the OSXHome directory, instead of just the users directory. Also verify that AD takes priority in the XServe’s user lookup to come before the local LDAP. The final thing to be sure of is to NOT Modify the Sharepoints default Network mount, any modifications will be done automatically when the AD is configured via Directory access, this was my main problem, I had selected the AD to be the “where”under the network mount tab of the OSXHome folder in the sharing section of WGM, however this doesn’t force OD to check the AD username, and in my case caused problems. Hope this helps anyone else trying to set this up