If I load the clip into the source monitor it plays back fine. It’s only in the sequence timeline that i have issues. I tried overwriting the clip with the same ins and out with the same error message results.
I’m having the same problem. I’m running Avid MC 7 in Mountain Lion on a Late 2008 iMac. I’m also editing from a “My Passport” drive, which makes me think that it may be the culprit. However, it was working fine with 6.5.
Collin