TC won't remember paths for a drive if...

[roentgen]

... the user has no Traverse Folder / Execute File (this folder only) right for that specific drive BUT has READ access (List Folder / Read Data).

XPSP2 with limited user account

[ghisler(Author)]

Sorry, I don't understand how the user can show the folder contents if he doesn't have the traverse folder rights...

[Horst.Epp]

For an application there is no need for the Traverse folder right.
If the app uses the full pathname of a subfolder or file it can be accessed as long as the necessary rights are set on the target.
Using an file manager without traverse folder right on a drive makes no sense for me.

[roentgen]

Some insights in here: Permissions for files and folders.

As one may see there's a great difference between the Read and the Traverse right, and one doesn't imply the other.

@Horst.Epp I presented the situation as an example. It's not like I need or use such an option (good or bad). I did find it by mistake and IMO it's clearly a TC bug.

[ghisler(Author)]

So if you have the "traverse" right for a folder, but not read, then you can list the contents of subfolders, but not of the folder itself, is this correct?

TC cannot enter a folder if the FindFirstFile function fails.

[roentgen]

So if you have the "traverse" right for a folder, but not read, then you can list the contents of subfolders, but not of the folder itself, is this correct?

It's the other way around: I have Read access but no Traverse/Execute right for the root of the drive.

I can access anything in that drive with no problem (read-only access).

By default, the Everyone group is given the Bypass traverse checking user right

That looks too me like the Traverse checking is ignored by default so it shouldn't have any effect (again... this was discovered by mistake).