From the Navigation Pane or any list view, click on a folder name to open the folder. You must have "A" (Administer) rights to the folder to rename it.
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From within the folder, go to Folder Options > Rename.
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Type the new name and choose OK.
NOTE: Folder names can be a maximum of 100 characters.
NOTE: A folder name cannot contain a TAB or any of these characters: \/:*?"<>|