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There has been a change in how the CreateFromTemplate method determines if the source database is a template or a database. In R4.6, the source database required an NTF extension only. In R5, the CreateFromTemplate method does not treat the source database as a template unless it has both an NTF extension and the "Database is a template" property selected. Otherwise, the source is treated as a database, and does not convert bracketed entries (such as [-Default-] ) in the ACL to regular ACL entries in the newly created database.