I see what you are seeing too Rich, but something has changed.

.....and if you put your tool tip ON the generated path in your close-up pic, it will not gouge. You are showing it ON the profile.

Russ,
Looking at it now.
Can you post what rough cuts you did?
Seems like something is getting corrupted, as i play with it.
I tried a cut depth of .2  and ever since that, LT is acting buggy with your tool.

It's funny, you can try all kinds of complex files and the simple ones are the ones that
create problems sometimes.

One thing that i notice is that you are using "side" in tool data which i very seldom use , maybe that is the culprit.

Need to experiment some more..........

RICH
 

Rich,
  Side or End makes no difference here, just need to change the angle accordingly.

Pullout Clearance   0.1
Stock Clearance    0.0   (tried various)
Depth PP             0.1

With the tool centered, it looks fine. problem occurs when angling it.
Almost looks like Art is preventing a collision with the heel of the holder ...maybe ?

Here is a pic of how I assume it should be. For this type of tool, there is nothing there to collide behind the tool.
Only limitation would be the projection of the holder from the tool post.
RC

Hi Guys:

  My fault, I missed a boolean reset wehn a double hit of the tool is sensed. This version will fix it up, or seems to on my tests.

Art

See attached file as mine looks different.
RICH

ALL BETTER !
Just as before...THANKS Art,
RC

wITH FEB-13 VERSION

RICH

ART,
Shouldn't the right tool cut to the right?
RICH

Rich, It will cut to the right if you remove the - from the 22

Thanks Russ....another little note to bury in the manual so only you know.
RICH