The subject error will occur if you granted permissions to a domain local group that included Everyone, while the server was in mixed mode, and subsequently switched to native mode.

To fix this problem:

01. Open Computer Management from Administrative Tools.

02. Double-click System Tools, double-click Local Users and Groups, and double-click Groups.

03. Press New Group on the Action menu.

04. Type a new group name into Group name and a description into Description.

05. Press Add.

06. Type Everyone into the Enter the object names to select box and press OK.

07. Press Create.

08. Press Close.

09. On the computer that hosts the share, use Windows Explorer to right-click the shared folder and press Sharing.

10. On the Sharing tab, press Permissions.

11. Press Add.

12. Select the new group in the Select Users, Computers, or Groups list and press Add.

13. Press OK.