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Thanks again Chornbe - I also notice that a reference needs to be added to system.runtime.remoting, something that neither of the books I have here have bothered to mention!
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To fully simulate remoting as it's meant to be used, make all three projects in three different folders. Each of the "ends" should reference the DLL containing the interfaces and common code. Each end will copy the dll to its own working directory at build time. This gives you more of a "real" separation and might help keep you in the right frame of mind.