by default the behavour you see is correct, but there is an ini setting that bigstar added to ffxp along time ago for this, he added it as a request by me actually, but i can't remember which ini setting that was atm, but bigstar will know what your talking about now so he can more than likey look it up and post it for you
but as bigstar said, if u close ffxp with the left side as local, it should be local on opening again. if its not remembering your settings, make sure your .ini file in the install dir is not set to "read-only"
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