Workflow Document Generation Output Folder path problem

I set up the following folder with sub-folders:

Test

              FolderA

                             FolderB (sub-folder of FolderA)

                                           FolderC(sub-folder of FolderB)

When I use the following under Output Location in the Document Generator Folder path

/FolderA/FolderB

it will write a file to FolderB successfully, however when I use the following:

/FolderA/FolderB/FolderC

I get the message, “Specified path ‘/FolderA/FolderB/FolderC’ does not exist.

Has anyone seen this before?

Thanks