ArcCatalog returns errors when assigning privileges to users on referenced mosaic datasets stored in enterprise geodatabases.

Workaround

Use the Change Privileges geoprocessing tool to grant the permissions desired to users.

Option 1:

Use the Change Privileges geoprocessing tool instead.

1. Open ArcMap 10.8.1.
2. Open Catalog.
3. Expand Folder Connections > select Connect to Folder > choose a folder with a raster, such as a .tif.
4. Navigate to the .tif > Add the .tif into the map.
5. Right click Folder > New > select File Geodatabase.
6. Right click File Geodatabase> New > 'Raster Catalog'.
7. In the Create Raster Catalog geoprocessing tool, enter the following required parameters (Note. Leave the remaining parameters to the default)> :
   1. Output location: Browse to file path of File Geodatabase created in Step 5.
   2. Raster Catalog Name: Input text.
8. In the Catalog window, expand the file geodatabase > right-click the Raster Catalog > Load > Load Raster Datasets...>
9. In the Raster to Geodatabase (multiple) geoprocessing tool, enter the following required parameters (Note. Leave the remaining parameters to the default):
   1. Input Rasters: Browse to the .tif from Step 4.
   2. Output Geodatabase: Browse to the File Path in Step 6 (For example, C:\Users\mat10009\Documents\ArcGIS\New File Geodatabase.gdb\rastercatalog)
10. In the Catalog window, expand the file geodatabase > right-click Create Referenced Mosaic Dataset... >
11. In the Create Referenced Mosaic Dataset geoprocessing tool, enter the following parameters if not automatically populated:
    1. Input Raster Catalog or Mosaic Dataset: Browse to the Raster Catalog created in Step 6.
    2. Output Mosaic Dataset: Browser to the File Geodatabase and enter in a name for the Referenced Mosaic Dataset (For example. C:\Users\mat10009\Documents\ArcGIS\Default.gdb\rastercatalog_Ref).
    3. Coordinate System (Optional): Select the Coordinate system of the .tif.
12. Use the Create Enterprise Geodatabase tool to create an Oracle, PostgreSQL or SQL Server Enterprise geodatabase if one has not been created beforehand.
13. Use the Create Database User geoprocessing tool to create two database users. One database user is the data owner of the Referenced Mosiac dataset and the other database user assigns privileges tool.
14. Create two database connections for both database users.
15. Expand the file geodatabase> right-click the referenced mosaic dataset, and select 'Copy'.
16. Open Catalog > expand Database Connections > connect to the both database connections created in Step 14.
17. Right-click one database connection > Paste.
18. In the Data Transfer dialog box, leave the defaults.
19. WORKAROUND! Open the Change Privileges geoprocessing tool and Enter in the following parameters:
    1. Input Dataset: The Feature Class within the database connection created in Step 16.
    2. User: the name of the user that is not the data owner.
    3. View (Select): Choose "Grant".
    4. Edit (Update/Insert/Delete): Choose Grant or "As_IS".

Option 2:

In ArcGIS Pro 2.8.3, use the Change Privileges geoprocessing tool to assign privileges to a database user for referenced mosaic dataset that originates from a mosaic dataset.

Steps to Reproduce