Direct assignment of Who can Edit / Create to Members not working?

(Bug, Closed -> Misunderstanding, Priority: Critical, Test Status: No automated tests yet , Reported By Justin du Coeur, )
Summary: I created the Querki Knowledgebase, set Who Can Edit and Create to "Members", and invited Aaron. He got errors when trying to save.
Note that the newer, Role-based security worked fine -- once I made him an Editor it was okay. But the older system should also work: it's finer-grained, so we want it to continue functioning.