** This issue will be addressed in ArcGIS 9.0 Service Pack 2 (SP2) **
When executing the Update command from Analysis Tools > Overlay, the output feature classes attributes are being assigned incorrectly.
Areas which overlap between the input and update features should get the update feature's attributes. Currently they receive the input feature's attributes.
This is a known issue.
** This issue is addressed in ArcGIS 9.0 Service Pack 2 (SP2).
Click on the link in Related Information below and download Service Pack 2, if necessary. **
If the Service Pack is not available, try the following workaround:
- Perform an ERASE to eliminate the areas of the input feature class which overlap the update feature class.
- Use APPEND to add the update feature class to the output from step 1.