Almost 4 years after your original post I stumbled upon the exact same situation.
I've had occasional complaints from users about mysteriously overwriting each others work and they did not know what happened.
Turns out it's this exact same issue.
We are on Windchill 10.2 with Creo Parametric 2.0 and still experience the same behavior. Update Current just does not work properly in Creo.
Do you have some new insights on this?
Sorry for the delay Olaf Corten, I've been super busy the last couple of days. I have the latest versions of both Creo and Windchill. Let me do some testing and see if this issue is still present. I'll let you know what I find...
I would also be interested in this topic as we've had update problems for a while now.
We're on creo 2.0 M150/M210 & windchill 10.1 M040
Most of our users tend to use the update function from the model tree.
(Changan UK R & D Centre)
We have experienced a similar issue albeit infrequently. The details are slightly different, but may be insightful to some.
Our CAD system in Solidworks. While using 10.1 M40 we saw an issue where the modified local content was unexpectedly replaced by the original content - as originally added to the Workspace. There was no user action (eg update version). The content was Saved in the CAD system; next time opened all changes were lost and content was reverted to previous state.
The prognosis was that this was due to a "stale" workspace. The workspace was "old" and had been used by the user for some time. Somehow this supposedly affected the operation of the system.
We confirmed this action was only visible in that particular workspace. All other (and newer) user workspaces did not exhibit that behavior.
Hope that gives some insight into our situation.
We've since update to 10.2 and have communicated that best practice is to roll new workspaces with changing work. To date (apprx. 1.5 years) I have not had a similar issue reported.