Mac OS 9: "You are not permitted to change File Sharing settings" Alert

If file sharing is turned on, Limited Finder or Panels users may see a file sharing-related alert when the computer wakes from sleep, restarts, or is shut down.

Symptom

If you are logged in as a Limited Finder or Panels user, when you shut down, restart, or wake the computer from sleep, an alert box with this message appears:

Solution

This alert box appears because you are logged in as a user that does not have privileges to make file sharing changes. To prevent this alert box from appearing, log out before choosing Sleep, Restart, or Shut Down from the Special menu.