When the Multiple Users feature of Mac OS 9 is turned on, limited users are unable to change Final Cut Pro preferences. In addition, Final Cut Pro will quit with a Type 2 error when a limited user chooses the Preferences command from the Edit menu.
As a workaround, you can copy the entire Final Cut Pro folder to the limited user's Documents folder (an alias to this folder is on the desktop). Also, make sure the limited user only has access to the Final Cut Pro application in this folder.