diff --git a/OpenSim/Region/ClientStack/LindenUDP/LLClientView.cs b/OpenSim/Region/ClientStack/LindenUDP/LLClientView.cs
index 724c8bc986..bd0c1461cc 100644
--- a/OpenSim/Region/ClientStack/LindenUDP/LLClientView.cs
+++ b/OpenSim/Region/ClientStack/LindenUDP/LLClientView.cs
@@ -657,8 +657,7 @@ namespace OpenSim.Region.ClientStack.LindenUDP
         public void ProcessSpecificPacketAsync(object state)
         {
             AsyncPacketProcess packetObject = (AsyncPacketProcess)state;
-            packetObject.result = packetObject.Method(packetObject.ClientView, packetObject.Pack);
-            
+            packetObject.result = packetObject.Method(packetObject.ClientView, packetObject.Pack);          
         }
 
         #endregion Packet Handling
@@ -7662,12 +7661,15 @@ namespace OpenSim.Region.ClientStack.LindenUDP
                         newTaskItem.GroupPermissions = updatetask.InventoryData.GroupMask;
                         newTaskItem.EveryonePermissions = updatetask.InventoryData.EveryoneMask;
                         newTaskItem.NextPermissions = updatetask.InventoryData.NextOwnerMask;
+
+                        // Unused?  Clicking share with group sets GroupPermissions instead, so perhaps this is something
+                        // different
                         //newTaskItem.GroupOwned=updatetask.InventoryData.GroupOwned;
                         newTaskItem.Type = updatetask.InventoryData.Type;
                         newTaskItem.InvType = updatetask.InventoryData.InvType;
                         newTaskItem.Flags = updatetask.InventoryData.Flags;
                         //newTaskItem.SaleType=updatetask.InventoryData.SaleType;
-                        //newTaskItem.SalePrice=updatetask.InventoryData.SalePrice;;
+                        //newTaskItem.SalePrice=updatetask.InventoryData.SalePrice;
                         newTaskItem.Name = Util.FieldToString(updatetask.InventoryData.Name);
                         newTaskItem.Description = Util.FieldToString(updatetask.InventoryData.Description);
                         newTaskItem.CreationDate = (uint)updatetask.InventoryData.CreationDate;
@@ -7675,7 +7677,7 @@ namespace OpenSim.Region.ClientStack.LindenUDP
                                                    newTaskItem, updatetask.UpdateData.LocalID);
                     }
                 }
-            }
+            }               
 
             return true;
         }
@@ -11590,6 +11592,7 @@ namespace OpenSim.Region.ClientStack.LindenUDP
             public PacketMethod method;
             public bool Async;
         }
+        
         public class AsyncPacketProcess
         {
             public bool result = false;
@@ -11632,4 +11635,4 @@ namespace OpenSim.Region.ClientStack.LindenUDP
             OutPacket(packet, ThrottleOutPacketType.Task);
         }
     }
-}
+}
\ No newline at end of file
diff --git a/OpenSim/Region/Framework/Scenes/Scene.Inventory.cs b/OpenSim/Region/Framework/Scenes/Scene.Inventory.cs
index 42a748ff67..26d3372a63 100644
--- a/OpenSim/Region/Framework/Scenes/Scene.Inventory.cs
+++ b/OpenSim/Region/Framework/Scenes/Scene.Inventory.cs
@@ -1222,6 +1222,7 @@ namespace OpenSim.Region.Framework.Scenes
                             item = CommsManager.UserProfileCacheService.LibraryRoot.FindItem(itemID);
                         }
 
+                        // If we've found the item in the user's inventory or in the library
                         if (item != null)
                         {
                             part.ParentGroup.AddInventoryItem(remoteClient, primLocalID, item, copyID);
diff --git a/OpenSim/Region/Framework/Scenes/SceneObjectGroup.Inventory.cs b/OpenSim/Region/Framework/Scenes/SceneObjectGroup.Inventory.cs
index 71354b4eac..4034744c58 100644
--- a/OpenSim/Region/Framework/Scenes/SceneObjectGroup.Inventory.cs
+++ b/OpenSim/Region/Framework/Scenes/SceneObjectGroup.Inventory.cs
@@ -173,7 +173,9 @@ namespace OpenSim.Region.Framework.Scenes
                             item.NextPermissions;
                     taskItem.NextPermissions = item.NextPermissions;
                     taskItem.CurrentPermissions |= 8;
-                } else {
+                } 
+                else 
+                {
                     taskItem.BasePermissions = item.BasePermissions;
                     taskItem.CurrentPermissions = item.CurrentPermissions;
                     taskItem.CurrentPermissions |= 8;
diff --git a/OpenSim/Region/Framework/Scenes/SceneObjectPartInventory.cs b/OpenSim/Region/Framework/Scenes/SceneObjectPartInventory.cs
index 21ca1de6f9..d175695833 100644
--- a/OpenSim/Region/Framework/Scenes/SceneObjectPartInventory.cs
+++ b/OpenSim/Region/Framework/Scenes/SceneObjectPartInventory.cs
@@ -528,6 +528,7 @@ namespace OpenSim.Region.Framework.Scenes
             item.ParentID = m_part.UUID;
             item.ParentPartID = m_part.UUID;
             item.Name = name;
+            item.GroupID = m_part.GroupID;
 
             lock (m_items)
             {
@@ -620,6 +621,12 @@ namespace OpenSim.Region.Framework.Scenes
                     item.ParentID = m_part.UUID;
                     item.ParentPartID = m_part.UUID;
                     item.Flags = m_items[item.ItemID].Flags;
+
+                    // If group permissions have been set on, check that the groupID is up to date in case it has
+                    // changed since permissions were last set.
+                    if (item.GroupPermissions != (uint)PermissionMask.None)
+                        item.GroupID = m_part.GroupID;
+                    
                     if (item.AssetID == UUID.Zero)
                     {
                         item.AssetID = m_items[item.ItemID].AssetID;
@@ -771,6 +778,7 @@ namespace OpenSim.Region.Framework.Scenes
                     uint everyoneMask = 0;
                     uint baseMask = item.BasePermissions;
                     uint ownerMask = item.CurrentPermissions;
+                    uint groupMask = item.GroupPermissions;
 
                     invString.AddItemStart();
                     invString.AddNameValueLine("item_id", item.ItemID.ToString());
@@ -780,7 +788,7 @@ namespace OpenSim.Region.Framework.Scenes
 
                     invString.AddNameValueLine("base_mask", Utils.UIntToHexString(baseMask));
                     invString.AddNameValueLine("owner_mask", Utils.UIntToHexString(ownerMask));
-                    invString.AddNameValueLine("group_mask", Utils.UIntToHexString(0));
+                    invString.AddNameValueLine("group_mask", Utils.UIntToHexString(groupMask));
                     invString.AddNameValueLine("everyone_mask", Utils.UIntToHexString(everyoneMask));
                     invString.AddNameValueLine("next_owner_mask", Utils.UIntToHexString(item.NextPermissions));