--- modules/vfs_acl_common.c.orig	2012-05-29 11:06:31.696878464 -0700
+++ modules/vfs_acl_common.c	2012-05-29 12:07:02.485802955 -0700
@@ -453,7 +453,56 @@
 
 	if (!inheritable_components && !inherit_owner) {
 		/* Nothing to inherit and not setting owner. */
-		return NT_STATUS_OK;
+		/* 
+		 * So, we mimic the Windows behavior. That is, we create
+		 * AN SD with the user as the owner, group as group owner
+		 * and two ACEs with full access allowed as below
+		 */
+		size_t sd_size = 0;
+		SEC_ACL *dacl = NULL;
+		SEC_ACE aces[2];
+
+		DEBUG(10, ("Creating default ACL because no inheritable ACEs available\n"));
+		/* First an ACE giving creator all access */
+		init_sec_ace(&aces[0],
+			     &handle->conn->server_info->ptok->user_sids[PRIMARY_USER_SID_INDEX],
+			     SEC_ACE_TYPE_ACCESS_ALLOWED,
+			     GENERIC_RIGHTS_FILE_ALL_ACCESS,
+			     0x0);
+
+		init_sec_ace(&aces[1],
+			     &global_sid_System,
+			     SEC_ACE_TYPE_ACCESS_ALLOWED,
+			     GENERIC_RIGHTS_FILE_ALL_ACCESS,
+			     0x0);
+
+		dacl = make_sec_acl(ctx, NT4_ACL_REVISION, 2, aces);
+		if (!dacl) {
+			DEBUG(10, ("Failed to make default DACL, out of memory!\n"));
+			return NT_STATUS_NO_MEMORY;
+		}
+
+		psd = make_sec_desc(ctx, 
+				    SEC_DESC_REVISION,
+				    SEC_DESC_SELF_RELATIVE, 
+			     	    &handle->conn->server_info->ptok->user_sids[PRIMARY_USER_SID_INDEX],
+				    &handle->conn->server_info->ptok->user_sids[PRIMARY_GROUP_SID_INDEX],
+				    NULL, /* Empty SACL */
+				    dacl, /* DACL with above entries */
+				    &sd_size);
+	
+		if (!psd) {
+			DEBUG(10, ("Failed to create SD, out of memory!\n"));
+			return NT_STATUS_NO_MEMORY;
+		}
+
+		/* Now, store it ... */
+
+		status = SMB_VFS_FSET_NT_ACL(fsp,
+					     security_info_sent,
+					     psd);
+
+		return status;
 	}
 
 	/* Create an inherited descriptor from the parent. */