Originally Posted by iwillflytheworld
If this information is confirmed (not doubting the OP at all, but agents are known to make up stories all the time), it is highly relevant for me as I gauge moving to OneWorld in 2007.
Just be sure of one thing: this is United's responsibility, not Lufthansa's.

Check ANA and USAir. My bet is that award seats are blocked for UA only, not others. Been dealing with the same issue for over a month.