I had the same problem. And for me the solution in creating a directory httpdocs/fotos and telling Photshare to use the dir ../httpdocs/fotos worked as well.
Thanks CaptainBlah for sharing the problem and solution
You should be aware that placing images in a folder beneath "httpdocs" makes them available for the webserver. This means a user can point his browser directly to the images files and thereby bypassing Photoshare's access control.
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