Mac OS X 10.2: "Classic needs to update resources..." After Using Base or All Set in Extensions Manager

After selecting the Mac OS 9.2.2 Base or All set in the Extensions Manager control panel, an alert box appears when Classic starts.
Symptom

An alert box with this message appears when Classic starts:

Note: This issue does not occur the first time Classic is started, because Classic checks for these files before the Extensions Manager appears. But it will occur the next time Classic starts, unless the Extensions Manager set is changed (see Solution below). This message can occur in other situations. For example, it is normal to see this message the first time Classic starts from a System Folder that has not been updated by the currently installed version of Classic.


Solution

Click the Update button that appears in the "Classic needs to update..." dialog sheet.

This issue occurs because certain extensions that Classic needs may not be included in the Mac OS X 9.2.2 All or Base set. Some computers that include Mac OS 9.2.2 and Mac OS X 10.2 are not affected by this issue.
Published Date: Oct 11, 2016