You get an error while adding a trusted location in Word 2007 (The path you have entered is not a valid location or cannot be used as a Trusted Location for Security reasons)

Previous day while adding a trusted location in Word and was presented with this message for no reason…as the path I was entering was a valid path (At least I thought so..) “The path you have entered is not a valid location or cannot be used as a Trusted Location for Security reasons” The issue was that Word was not accepting a root web site path as trusted location http://mysite.mydomain.com –> Did not work http://mysite.mydomain.com/sites/subsite –> Worked After some research I figured out that actually I was missing an hotfix mentioned below http://support.microsoft.com/kb/981041/