[Dovecot] Problem with folders, dovecot-0.99.13-3.FC3 and Eudora 7.0.1

Greetings, the Eudora client is attempting to create a subfolder of an existing folder, using the "Make it a folder option" which creates a directory under /home/<user>/mail/<a few paths>. Eudora is seemingly stuck in attempting to create the directory, but there is nothing under /var/log which seems useful in diagnosing the problem.

Thank you for your consideration, Davide Bolcioni

There is no place like /home.