diff -up samba-3.0.26a/source/smbd/nttrans.c.orig samba-3.0.26a/source/smbd/nttrans.c
--- samba-3.0.26a/source/smbd/nttrans.c.orig	2007-11-09 14:17:44.000000000 -0500
+++ samba-3.0.26a/source/smbd/nttrans.c	2007-11-09 14:21:30.000000000 -0500
@@ -688,8 +688,9 @@ int reply_ntcreate_and_X(connection_stru
 	    && (create_disposition != FILE_CREATE)
 	    && (share_access & FILE_SHARE_DELETE)
 	    && (access_mask & DELETE_ACCESS)) {
-		if ((dos_mode(conn, fname, &sbuf) & FILE_ATTRIBUTE_READONLY) ||
+	        if (((dos_mode(conn, fname, &sbuf) & FILE_ATTRIBUTE_READONLY)
+		     && !lp_delete_readonly(SNUM(conn))) ||
 				!can_delete_file_in_directory(conn, fname)) {
 			restore_case_semantics(conn, file_attributes);
 			END_PROFILE(SMBntcreateX);