This looks like a permissions issue with the target folder where you are uploading the files. Have you tried changing the permissions of the "CatalogItems" folder to '755' or '777'?
Your friends over here at WebAssist! These Dreamweaver extensions will assist you in building unlimited, custom websites.
These out-of-the-box solutions provide you proven, tested applications that can be up and running now. Build a store, a gallery, or a web-based email solution.