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In the new annotation class wizard, what does 'Automatically update annotation when feature's shape is modified' mean?
If the 'Automatically update annotation when feature’s shape is modified' option is not checked, when you modify the geometry for a feature with linked annotation (such as move or reshape), the annotation will not re-place itself in relation to the feature’s new geometry.
If this option is checked (the default), any time a feature is moved or reshaped, its linked annotation feature is repositioned based on the placement options for the feature-linked annotation class.