PROBLEM RESOLVED! I wasted many hours on this only to find out it was my Logitech camera. I have to use Macam as the driver for that camera to work with Skype because it is geared for Windows machines. I’m thinking it had to be the driver interfering with the FCP and/or QT software. When I unplugged the camera, the capturing worked flawlessly…on the fly or batch. When I plugged it back in the same problem came back. Previously I had had that camera plugged in without issues to my working on FCP but perhaps somewhere there was a sw update that changed that. I guess that’s a sign for me to get a more MAC compatible web camera! I also learned a lot reading this forum. I need to do a better job of maintaining my system and cleaning my drives regularly. Thank you Shane for the link to that maintenance software. Even though it wasn’t the solution it certainly did clean up some other messes I was unaware of. Glad I found this place. Without the on staff tech support, it’s the next best thing….maybe better! Thank you all!