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The drawing files and .dst files that I create do not reside on my local hard drive but in the cloud (dropbox). That's what I have been doing since starting work here. This hasn't been a problem till now. Am I using dropbox incorrectly or has a setting changed that I need to look at? I think I know just enough about dropbox to be dangerous..
Have you tried exiting Dropbox first, then creating a new Sheet Set in that folder? Without Dropbox running it may be just a regular folder. Of course then it wouldn't put the Sheet Set in the cloud. No telling what would happen next time Dropbox was running again.
If that's what your goal is why not use Autodesk 360?
That's not how Dropbox works. It creates a folder on your hard drive and labels it "Dropbox". Then a program runs in your system tray that watches the folder for any changes. If you add a file, the service copies the file to your online Dropbox account. If you modify a file it is copied to dropbox.com as well. In your png from the second post, the "Dropbox" folder is located at "C:\Users\fivestarjasonb\dropbox". Open that folder in Windows Explorer and test if you can create a file there by rt+clk>New>Text Fiile. When using the folder in AutoCAD, you may need to make sure that you are logged into Dropbox first.
On 12/15/2016 I recieved notice from Dropbox "Your Public folder will soon become a private folder".
Don't know if it had any affect on it. The way they describe it I thought is would only affect others access online, but who knows.