Here is the ls -l output of my /web/testsite directory.
user1@host:~/web/testsite$ ls -l
drwxrwxr-x 2 user1 web1 4096 2005-11-19 13:03 error
-rwxrwxr-- 1 user1 web1 1215 2005-11-19 12:57 index.html
I think this means that the directories and files are set up correctly. I still get the 403 error. Is there something else I need to do?