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I was severely bit by this same thing on a live system. This has to be a "Floating Window" and not a "Dialog" window. This is because a Floating Window has permissions to execute script codes whereas Dialogs are more locked down.
Read more about Dialog restrictions here:
Thanks for your reply, I went through your link but the Filemaker reference lacks information about executing a script from a dialog window(Something you pretty much need). I will change my implementation following your advice anyway
Thanks eworbit! Here are FM 15 links that may help: