the zone of the assembly that failed was: mycomputer

I've deployed version 1.70 to godaddy grid hosting manually and can navigate around the admin pages and perform a number of actions such as add users, disable currencies, disable blog, close the store for example all without issue.

There are a few actions that result in an error, they include setting the welcome message (Content Management -> Topics) and adding new products. Below is the stack trace from trying to change the welcome message:

System.Security.SecurityException: Request failed.
    at AjaxControlToolkit.HTMLEditor.EditPanel.set_ActiveMode(ActiveModeType value)
    at AjaxControlToolkit.HTMLEditor.EditPanel.LoadPostData(String postDataKey, NameValueCollection postCollection)
    at AjaxControlToolkit.ScriptControlBase.System.Web.UI.IPostBackDataHandler.LoadPostData(String postDataKey, NameValueCollection postCollection)
    at System.Web.UI.Page.ProcessPostData(NameValueCollection postData, Boolean fBeforeLoad)
    at System.Web.UI.Page.ProcessRequestMain(Boolean includeStagesBeforeAsyncPoint, Boolean includeStagesAfterAsyncPoint)
    at System.Web.UI.Page.ProcessRequest(Boolean includeStagesBeforeAsyncPoint, Boolean includeStagesAfterAsyncPoint)
    at System.Web.UI.Page.ProcessRequest()
    at System.Web.UI.Page.ProcessRequestWithNoAssert(HttpContext context)
    at System.Web.UI.Page.ProcessRequest(HttpContext context)
    at ASP.administration_topicdetails_aspx.ProcessRequest(HttpContext context) in c:\windows\Microsoft.NET\Framework\v4.0.30319\Temporary ASP.NET Files\shop\c1e47545\babef735\App_Web_wm4kzpf4.24.cs:line 0
    at System.Web.HttpApplication.CallHandlerExecutionStep.System.Web.HttpApplication.IExecutionStep.Execute()
    at System.Web.HttpApplication.ExecuteStep(IExecutionStep step, Boolean& completedSynchronously) The action that failed was: Demand The type of the first permission that failed was: System.Security.PermissionSet The Zone of the assembly that failed was: MyComputer

I believe the root cause for the two issues (and there may be more) could be same based on the last line of the stack trace:

"Demand The type of the first permission that failed was: System.Security.PermissionSet The Zone of the assembly that failed was: MyComputer"

Is it a folder permission issue?

Thanks in advance,
- Tim

I looked into this further and I think I have traced it back to a bug in AjaxControlToolkit:
http://ajaxcontroltoolkit.codeplex.com/workitem/26772

has anyone else encountered this issue when running nopCommerce in a medium trust environment?

As final follow up, to get past this blocking issue I downloaded the AjaxControlToolkit source and was trying to find a solution and discovered handling the exception and continuing didn't produce any adverse effects. Although not ideal, it does 'work'.

If anyone can provide any more insight into this, if it will be fixed properly so that nopCommerce can run in a medium trust environment for example, it would be greatly appreciated.

-tim