Index: lams_central/web/lams_authoring.swf
===================================================================
diff -u -rb27ab92e1b9008cb415e099cd7ecb2eacb7c0695 -r172dc8bd6075a4e7501c0e0cf4f5ddaa18399b1c
Binary files differ
Index: lams_central/web/lams_authoring_library.swf
===================================================================
diff -u -rb27ab92e1b9008cb415e099cd7ecb2eacb7c0695 -r172dc8bd6075a4e7501c0e0cf4f5ddaa18399b1c
Binary files differ
Index: lams_flash/src/central/flash/org/lamsfoundation/lams/authoring/DesignDataModel.as
===================================================================
diff -u -redfb806aa366570610c9306a5f5c54f33d37c76b -r172dc8bd6075a4e7501c0e0cf4f5ddaa18399b1c
--- lams_flash/src/central/flash/org/lamsfoundation/lams/authoring/DesignDataModel.as	(.../DesignDataModel.as)	(revision edfb806aa366570610c9306a5f5c54f33d37c76b)
+++ lams_flash/src/central/flash/org/lamsfoundation/lams/authoring/DesignDataModel.as	(.../DesignDataModel.as)	(revision 172dc8bd6075a4e7501c0e0cf4f5ddaa18399b1c)
@@ -184,9 +184,18 @@
 		var r:Object = _activities.remove(activityUIID);
 		if(r==null){
 			return new LFError("Removing activity failed:"+activityUIID,"removeActivity",this,null);
-		}else{
+		} else {
+			if(r.activityTypeID == Activity.GROUPING_ACTIVITY_TYPE) {
+				var rg:Object = _groupings.remove(r.createGroupingUIID);
+				if(rg==null) {
+					return new LFError("Removing associated grouping failed:"+r.createGroupingUIID, "removeActivity", this, null);
+				} else {
+					Debugger.log('Removed grouping:'+rg.groupingUIID, Debugger.GEN,'removeActivity','DesignDataModel');
+				}
+			}
+				
 			Debugger.log('Removed:'+r.activityUIID,Debugger.GEN,'removeActivity','DesignDataModel');
-				dispatchEvent({type:'ddmUpdate',target:this});
+			dispatchEvent({type:'ddmUpdate',target:this});
 			
 			
 		}
Index: lams_flash/src/central/flash/org/lamsfoundation/lams/authoring/cv/CanvasHelper.as
===================================================================
diff -u -r65b93154434968657e32949992a29bb8c98e08e1 -r172dc8bd6075a4e7501c0e0cf4f5ddaa18399b1c
--- lams_flash/src/central/flash/org/lamsfoundation/lams/authoring/cv/CanvasHelper.as	(.../CanvasHelper.as)	(revision 65b93154434968657e32949992a29bb8c98e08e1)
+++ lams_flash/src/central/flash/org/lamsfoundation/lams/authoring/cv/CanvasHelper.as	(.../CanvasHelper.as)	(revision 172dc8bd6075a4e7501c0e0cf4f5ddaa18399b1c)
@@ -247,6 +247,9 @@
 		
 		// remove transitions and/or branches connected to this activity being removed
 		_ddm.removeTransitionByConnection(activityUIID);
+		
+		canvasModel.clearGroupedActivities(activityUIID);
+		
 		if(canvasModel.activeView instanceof CanvasBranchView)
 			_ddm.removeBranchByConnection(activityUIID, CanvasBranchView(canvasModel.activeView).activity);
 		
Index: lams_flash/src/central/flash/org/lamsfoundation/lams/authoring/cv/CanvasModel.as
===================================================================
diff -u -rb27ab92e1b9008cb415e099cd7ecb2eacb7c0695 -r172dc8bd6075a4e7501c0e0cf4f5ddaa18399b1c
--- lams_flash/src/central/flash/org/lamsfoundation/lams/authoring/cv/CanvasModel.as	(.../CanvasModel.as)	(revision b27ab92e1b9008cb415e099cd7ecb2eacb7c0695)
+++ lams_flash/src/central/flash/org/lamsfoundation/lams/authoring/cv/CanvasModel.as	(.../CanvasModel.as)	(revision 172dc8bd6075a4e7501c0e0cf4f5ddaa18399b1c)
@@ -545,7 +545,7 @@
 			return new LFError("Removing activity failed:"+activityUIID,"removeActivity",this,null);
 		}else{
 			Debugger.log('Removed:'+r.activityUIID,Debugger.GEN,'removeActivity','DesignDataModel');
-			
+				
 			r.removeMovieClip();
 			_cv.removeActivity(activityUIID);
 		}
Index: lams_flash/src/central/flash/org/lamsfoundation/lams/authoring/cv/CanvasSuperModel.as
===================================================================
diff -u -re7cf775d28d338b406ded86b467522e7bf63ec6f -r172dc8bd6075a4e7501c0e0cf4f5ddaa18399b1c
--- lams_flash/src/central/flash/org/lamsfoundation/lams/authoring/cv/CanvasSuperModel.as	(.../CanvasSuperModel.as)	(revision e7cf775d28d338b406ded86b467522e7bf63ec6f)
+++ lams_flash/src/central/flash/org/lamsfoundation/lams/authoring/cv/CanvasSuperModel.as	(.../CanvasSuperModel.as)	(revision 172dc8bd6075a4e7501c0e0cf4f5ddaa18399b1c)
@@ -108,6 +108,53 @@
         EventDispatcher.initialize(this);
 		
 	}
+		
+	public function clearGroupedActivities(activityUIID:Number):Void {
+		
+		var act:Activity = _cv.ddm.getActivityByUIID(activityUIID);
+		var createGroupingUIID:Number;
+		
+		Debugger.log('act isGroupingAct?: '+act.isGroupActivity(), Debugger.CRITICAL, 'clearGroupedActivities', 'CanvasSuperModel');
+			
+		if(!act.isGroupActivity())
+			return;
+		else
+			createGroupingUIID = GroupingActivity(act).createGroupingUIID;
+		
+		if(createGroupingUIID != null) {
+		
+			var keyArray:Array = _activitiesDisplayed.keys();
+			
+			for(var i=0; i<keyArray.length; i++){
+				var a = _activitiesDisplayed.get(keyArray[i]);
+				var currentGroupingUIID:Number = a.activity.groupingUIID;
+				
+				Debugger.log('currentGroupingUIID:'+currentGroupingUIID, Debugger.CRITICAL,'clearGroupedActivities','CanvasSuperModel');
+				
+				if(currentGroupingUIID == createGroupingUIID) {
+					
+					Debugger.log('Found grouping match:'+ a.activity.groupingUIID, Debugger.CRITICAL,'clearGroupedActivities','CanvasSuperModel');
+					
+					a.activity.groupingUIID = null;
+					
+					if (a.activity.activityTypeID == Activity.PARALLEL_ACTIVITY_TYPE){
+						for (var k=0; k<a.actChildren.length; k++){
+							a.actChildren[k].groupingUIID = null;
+						}
+						
+						a.init();
+					}
+			
+					Debugger.log('Set grouping UIID to null: '+a.activity.groupingUIID ,Debugger.GEN,'clearGroupedActivities','CanvasSuperModel');
+					
+					a.isSetSelected = false;
+					a.refresh()
+				}
+			}
+		}
+		
+		selectedItem = null;
+	}
 	
 	public function getDownstreamActivities(_class, isBranching:Boolean):Array {
 		var _activity;