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Why do conflicts occur during a Reconcile?
To manage long transactions in the database, the geodatabase adopts an optimistic concurrency approach to data management. When feature classes or objects are modified, no locks are applied to the data; other editors may edit the same features at the same time or in another version of the database.
Conflicts occur when the same feature class, topologically related feature, or relationship class is modified in two versions: the current version being edited and a target version. Conflict detection only occurs during the reconciliation process.
There are two categories of conflicts: when the same feature or attribute has been updated in each version and when the same feature or attribute has been updated in one version and deleted in the other.
If conflicts are detected during a reconcile, a message box appears telling you that conflicts exist between the current version and the target version.
If proceeding with the reconcile is selected, the Conflict Resolution dialog box displays a choice between three representations of the conflicting feature: a) the pre-edit session representation, b) the current version representation, or c) the parent version representation.
For more information on this topic, search for 'conflict' in the ArcGIS 9.x Help.