As I said before, I rely on my chat logs a lot.
For those of you who don't know how MSN Messenger saves the chat logs, it creates an xml file for each contact and saves the chat info in that xml file. It supplies an XSLT transformation file so that the logs can be viewed in user friendly way.
To view the chat log of a certain contact, right click on the contact in the messenger main window and choose, View Message History, a window will open which uses internet explorer to open the xml file of that contact.
Now here's the thing, after I installed IE7 Beta 2, that stopped working, I couldn't see the chat logs any more, instead, I see the following error message,

The XML page cannot be displayed
Cannot view XML input using XSL style sheet. Please correct the error and then click the Refresh button, or try again later.


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The system cannot locate the resource specified. Error processing resource 'file:///C:/Documents and Settings/wzeidan/My Do...
 
The error means that IE cannot find the XSLT transformation file specified in the xml document. I double checked the folder where the chatlogs are saved, and the XSLT file was there. I checked the xml file to see if the link to the xslt file was still there, every thing looked fine...the stylesheet was specified correctly

<?xml-stylesheet type='text/xsl' href='MessageLog.xsl'?>

I tried to view the xml file in IE, I got the same error as above, so the problem is definitely with IE. I was sure when I opened the xml file with FireFox, and it opened normaly. In FireFox, the XSLT transformation was applied and the result was rendered correctly.

So the problem is with IE not able to locate the XSLT file, although the file is there. I tried specifying the full path of the XSLT file, instead of just the name, and it worked fine. So the problem is that IE cannot find the XSLT file if the path of the file is a relative path.

It looks like a bug in IE7 Beta 2, hope they fix it in the release.