We have been having serious trouble getting an application we devlop running with UAC enabled for long.
Once installed (the installer fails almost immediately with UAC) it appears that UAC can be turned on and have the application work. However, after a while, it will stop working with strange errors about cannot find a file that it just created.
Just to get this straight:
XP as admin: Fine XP as limited user: Fine Vista no UAC admin: Fine Vista no UAC limited: Fine Vista UAC admin: FAIL Vista UAC limited: FAIL
The software contains no privilege checks anywhere. If I understand the documentation correctly, anything working as a limited user should work with UAC; however this is proving not to be the case.
EDIT: I must apologize for asking a problem much harder than it originally appeared. We have in fact found at least one bug in folder virtualization and think there are more out there. At this point, the only reasonable hope to get it running is to find an API call that can be executed as a limited user that disables folder virtualization for the calling process and any process it spawns (recursively). The reason we cannot just add a manifest is that the software calls into third-party software that actaully can vary per machine.