Zimbra Collaboration Server 7, Zimbra Desktop 2.0.1

Shared Briefcase works for all in web client. Works for owner in ZD.

For other than owner users in ZD when you double click the document or click the Edit button you get a dark grey Zimbra pop up with

"No HTML formatter available for item"

in the upper left hand corner.

I have tried on XP and Windows 7 fully updated both with IE8. As standard Windows user and as Windows admin. Same result.

Searching forum and web with no joy makes me think I am the only one that has experienced this. Some old references to that error but they don't appear to apply.

Any suggestions?