My set download folder is "Drop Zone." When I receive files with iChat, it tries to save them to a folder called "Drop2one" and gives me a Permission Denied error (since the folder doesn't exist!). I've already tried deleting any pref files I can find for iChat. Could it be a bug relating to the space in the folder's name?
It works if I rename "Drop Zone" to "Drop2one." Also, I haven't tried it under another user account (I'll be starting over when I get 10.3 Panther - and that might solve the problem - but for now I'm very curious about this, and if there's a solution).