Using Finder, check the folder permissions for the source and destination directories. You need READ and WRITE privs in both places.
Good points regarding permissions.
I did a chown -R on the whole volume in question and for good measure chmod -R 755 ... still no luck.
Looks like I may have to call Adobe.
Thanks everyone for confirming it works for you and the permissions consideration.
Looks to be a lightroom preferences issue. On another forum, I found:
Which points to: