Unable to preview feature classes or upgrade a geodatabase from the ArcGIS 10 Client by way of Direct Connect

Description

The following are the two situations in which this problem is encountered:

Working with data

When making a Direct Connect from an ArcGIS 10 client to a version 9.2, 9.3 or 9.3.1 geodatabase on SQL Server, interacting with the data fails, such as previewing in ArcCatalog, fetching layer properties, adding layers to ArcMap, etc.

Cause

This is a known issue with ArcGIS 10 clients making direct connections to some version 9.2, 9.3 or 9.3.1 geodatabases on SQL Server. This problem is caused by a query describing the columns on a table that incorrectly filters by user_name instead of schema_name. In databases where the schema_id of a schema and the principal_id of a user do not share the same number, the query returns no data.

To verify that this problem is present in a geodatabase, execute the following query in SQL Server as the DBO user or a member of the db_owner role:

Code:
select s.name as schema_name, s.schema_id, dp.name as user_name, dp.principal_id  
from sys.schemas s join sys.database_principals dp 
on s.name = dp.name 
and s.schema_id <> dp.principal_id

schema_name	schema_id	user_name	principal_id
map		10		map		6
gdb	        11		gdb		7
catalog		12		catalog		8

Workaround