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Layer's data source is ArcSDE not accessed via a direct connection

Question asked by scottie1001 on Mar 5, 2014
Latest reply on Dec 22, 2016 by aspaiva
This is frustrating, several of our mxds, when analyzed in ArcMap 10.0 come back with the error:
10030: Layer's data source is ArcSDE not accessed via a direct connection

We only use direct connect here, there hasn't been an SDE service running since our 9.3.1 days.
Here's the connection info from one of the offending layers (identifying info changed)

Data Type: SDE Feature Class
User: xxxxxxxxx
Instance: SDE:sqlserver:servername\dev
Location: dbname
Version: sde.DEFAULT
Description: Instance default version.
Feature Class: dbname.WEBMERC.HYD_PY_WW_Lake_polygons
Feature Type: Simple
Geometry Type: Polygon

Any thoughts?

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