Jay- the problem may be with your Design Spot-250 profile. I don't recall it ever having a problem but from what you’re describing, it sounds like it was written incorrectly. Like John was describing, there is an option to set how you want your channels to react to fade time but it isn't in the Magic-260 controller. It's in the PC profile creator program. You can select between "Snap After Fade", "Snap Before Fade" or "Fade" for each channel. From what you're describing, the Dimmer channel, in your current DS250 profile, is set to "Snap Before Fade"... it should be set to "Fade". I can send you the most recent profile library to update your controller. Send me an e-mail to firstname.lastname@example.org and I'll reply to you including the library.