Call it a myth tgrayson. . .but it happened. So, myth-busted.
And, my inspector had two other inspectors in the room. So, I'm sure he wouldn't have "skipped" the FOI on my initial ride if he didn't have the documentation to confirm it. And just to confirm, yes - three FAA inspectors were taking part in my MEI initial. . .just to confirm that it's not an automatic failure when you have an audience.
Let me also mention that this inspector was not some wet behind the ears inspector, but rather a very high up inspector at the ATL FSDO.
Also tgrayson, notice this line. . .
or are these people misunderstanding that the certificate removes the need to take the FOI written again?
You're not required to re-take the written. The ground certificate confirms that you have passed it, and the FAA has the original copy that is sent to OKC after going to the FSDO to get your ground certificate.
Do you go and re-take the FOI written before your CFII or any additional flight instructor certificate? I didn't think so. You take it once, and that's it.
Certainly don't mean to come off harsh, but I just want you to understand that I don't make the rules. One FSDO will either not know about a policy, or evaluate a policy one way, or totally ignore it. The guys/gals that work at the FSDO's are obviously human.
I will though confirm the actions of my inspector, with the audience. Now if someone else's FSDO does not offer the same courtesy, then well. . .I can't speak for that.