Typically, the error means that you are trying to create a folder that is
already mapped with a virtual directory and already exists for the virtual
server you are working on. Furthermore, it could be that you are trying to
create a folder in a Web for which there is already a sub Web with that
name.
For instance, Cgi-bin is usually created by FrontPage in the root Web. If
you were to make changes on the Web server to map Cgi-bin to a
noncontiguous location outside of the FrontPage Web, then turn around and
try to create a new folder with FrontPage in the Web, you would get an
error message. The error message in this case would be:
Server Error: 'cgi-bin' does not refer to a page or folder in this web.
Another example would be if the Images folder, which is included for each
FrontPage Web, is mapped to a noncontiguous location outside of the
FrontPage content area, and an attempt is made to make a new folder in the
Web called Images. This would also give the error message:
Server Error: 'images' does not refer to a page or folder in this web.
Another possible cause of this error would occur if you were to create a
sub Web called "myweb," then open the root Web and try to create a folder
with the name "myweb." This would result in the error message:
Server Error: 'myweb' does not refer to a page or folder in this web.