Did you ever want to add a password-protected VI to a library or use it independently from that library? You can't do that because the password protection of the VI also forbids you to change its membership in a library.
Viewing/editing a VI and adding it to or remove it from a library are different things, however:
Imagine the following situation:
I prefer to organize my projects using lvlibs and lvclasses. Many third party libraries still come as llbs or even plain VIs. I'm not supposed to have passwords for these libraries. But these third party VIs cause naming collisions in my project. All I want is to put these things into lvlibs to prevent name collisions or build a packed
library for reuse in my projects.
Membership is not necessarily implementation hiding and thus should be treated differently. The VI's vendor should have the opportunity to decide whether changing library membership is allowed, independently from locking the block diagram.
A modified VI security properties dialog could look like that:
A VI with these properties is password protected but can be moved freely between libraries.
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