10.5 Server – AFP permissions not inherited

I’m setting up a 10.5 Server. The only services running are AFP and SMB. User-created folders do not inherit AFP permissions from the parent folder. How do I get this to work?

Currently, we have a very simple setup. There is a shared folder and I’m using POSIX permissions. The owner of the shared folder is admin and the group is “MyCompanyStaff”. All employees at our company are in the MyCompanyStaff group. The Owner and Group both have read-write permissions.

The 10.5 File Services manual indicates that one should use Server Admin, select the share point, click on Protocols and select “Inherit Permissions from Parent”. This option does not appear in Server Admin.

I then thought I’d use ACLs so I added one ACL record to the shared folder. I gave MyCompanyStaff full control of the shared folder and then I propagated these ACL permissions down through all sub-folders and files. This still didn’t work.

What am I missing or overlooking? Thanks. –Tim