Auto Save & OS X Server Group Folders

Question

I just discovered that auto save enabled applications like Text Edit cannot save to /Groups directories on OS X Server. 
I have two local users David and Celia that are members of the local group davidendcelia. This group has the group directory /Groups/davidandceilia. All members of the group are able to save and edit files in the group folder regardless of who created the file. This is just what is wanted. It is not possible to save a file with Text Edit into the group directory. When you try to navigate to the group directory it is not accessible.
The /Users/Shared file will work with Text Edit, but it does not allow one user to edit a file created by another user.
Is there a way to make the group folders work with auto save enabled applications?
These are the permissions on the file.
imac10:Users Jeff$ pwd
/Users
imac10:Users Jeff$ ls -l
total 0
drwxr-xr-x+ 29 Jeff   staff     986 Jan 31 15:43 Jeff
drwxrwxrwt   8 root   wheel     272 Feb  5 19:40 Shared
drwxr-xr-x+ 13 celia  _amavisd  442 Feb  2 19:58 celia
drwxr-xr-x+ 20 david  staff     680 Feb  2 19:45 david
imac10:Groups Jeff$ pwd
/Groups
imac10:Groups Jeff$ ls -l
total 0
drwxrwx---@ 9 root  admin  306 Feb  5 19:30 davidandcelia
drwxrwx---+ 2 root  admin   68 Jan 31 21:01 workgroup
imac10:Groups Jeff$ ls -l

Answer 1

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