Yes. When a Maintenance Release is installed on the server the clients will be prompted to update the software installed locally. It is important to keep the server and client software in sync. The Electronic Delivery software installed locally uses applications installed on the server so they must match to ensure that data is mined properly.
No, do not save full path. This is usually caused by a nonstandard project directory structure. The project directory should contain one, and only one \ "_meta_info" sub-directory and it should be located from the root of the project.
Please review Server Security Setup document.