Even worse, Time Machine does not adequately back up your drive sufficiently to restore it to a useful state. I have now tried this twice (with leopard server software), and although the restore from Time machine created a bootable volume, it failed to create ANY user accounts (both times!). Basically, I observed that I couldn't log on - and time a tech support person had me log on as root (after reseting password via install disk) - and NO user accounts showed up.

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>it failed to create ANY user accounts (both times!)

That's odd. I had an hdd go down last week on my macbook (horrible horrible grinding sounds, brought tears to my eyes).

Restored from the Time Machine backup, and everything was as it should be.

In short, works for me - user accounts and all.

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