I've received an email from NTS noting that it is a known defect in the Novell CIFS server however the fix has not been released in a maintenance update as yet. That said, there is a Program Temporary Fix (PTF) available from engineering which I hope to deploy in our environment until the fix is released.
For all interested this is SR # 10949165441. Hans, I'll contact you via email with some more details so you can investigate if necessary. Thank you for looking in to this!
A good outcome in the end. :) Hopefully the defect can be resolved for all customers soon - I would bet there are customers impacted who may not be able to log an SR.