Files are not decrypted automatically when you try to access them.
This issue can occur if USERINIT.EXE is listed in TrustedPrograms.
SafeGuard LAN Crypt 3.71 and above
All supported operating systems
What to do
Check if USERINIT.EXE is defined in TrustedPrograms and if the TrustedProgramMethod is configured with 2 (incl. childprocesses).
If this is the case, either remove USERINIT.EXE or change the TrustedProgramMethod to 1.