I believe the 'SQL error' you're referring to is in fact the standard mailmerge prompt, asking for permission to connect to the data source. Unless you agree, the mailmerge document can't attach the data source for the merge. If you don't agree, then save the file, the connection is permanently lost and you'll have to re-create it next time you want to do a mailmerge.

However, if you've agreed and you then get a prompt saying the source file can't be found, that indicates the file has been moved, renamed or deleted. In that case, you can either reconnect to the current data source or allow Word to remove the behind-the-scenes code that tries to connect to it. Do the latter and you won't be prompted any more.

__________________
Cheers,
Paul Edstein
[Fmr MS MVP - Word]