Found it... In spite of Adobe's documentation which says:  This method does not 
return a value; do not use the cfreturn tag. 
(http://livedocs.adobe.com/coldfusion/8/htmldocs/help.html?content=AppEvents_06.html)
 

Adding <cfreturn false />

Now this (below) works as expected:

        <cffunction name="OnError" access="public" returntype="void" 
output="true" hint="Fires when an exception occures that is not caught by a 
try/catch.">
                <cfif application.setlocal eq 0>
                        <cferror template="error_handler.cfm" type="exception"> 
 
                        <cfreturn false />
                <cfelse>
                        <cftry><cfcatch type="Any"><cfrethrow></cfcatch></cftry>
                        <cfreturn false />
                </cfif>
        </cffunction>


Thanks

Robert B. Harrison
Director of Interactive Services
Austin & Williams
125 Kennedy Drive, Suite 100 
Hauppauge NY 11788
P : 631.231.6600 Ext. 119 
F : 631.434.7022
http://www.austin-williams.com 

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http://www.austin-williams.com/unplugged

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