Originally Posted by fbartels
do you also get a permision denied when creating other files in that directory?
Yes. This directory is not made to put any files there. Clients are only allowed to upload files to their web folder (so they are accessible by http), to the webdav folder for webdav, to the cgi folder if they are cgi scripts and to the newly introduced folder "private" when the files shall not be accessible by http.
The website folder protecion can be disbaled under system > server config, but its higly recommended to leave it on.