>   Can any one name a real world example of where confusion between an
> entity and its record was issue?

I would say that 80% of the RDF/OWL ontologies lingering somewhere on the web 
are examples. They are just so ill-designed that nobody wants to use them, and 
nobody CAN use them. The creators of these ontologies were unknowingly 
meandering between thinking describing things-in-reality, concepts, and 
abstract database records while creating these ontologies; a no-mans-land where 
almost any statement is somehow valid, and where there are thousand different 
ways to talk about a thing, because you are not really sure WHAT you are 
talking about.  
Design processes like these lead to the kinds of difficulties described in the 
classic paper "Are the current ontologies in biology good ontologies?" [1]. I 
have worked with such ontologies, but they are bordering on being completely 
unusable -- at least for me.

[1] http://dx.doi.org/10.1038/nbt0905-1095

Cheers,
Matthias Samwald

DERI Galway, Ireland
http://deri.ie/

Konrad Lorenz Institute for Evolution & Cognition Research, Austria
http://kli.ac.at/
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