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The position of the playhead is ignored; incoming clips are always placed after the last clip in the Timeline.
Ripple Overwrite
Performing an Append edit of clip DD to the Timeline
At its simplest, Ripple Overwrite substitutes a clip in the Timeline with an incoming clip. If you use Ripple Overwrite on a clip on Track 1, this will automatically move all clips that are to the right of the affected clip in the Timeline either forward to make room if the incoming clip is longer, or back to eliminate gaps if the incoming clip is shorter.
Performing a Ripple Overwrite to substitute an entire clip at the playhead (BB) with the incoming clip (DD)
However, Ripple Overwrite works differently if you’ve set In and Out points in the Timeline to define a range. In this case, the incoming clip substitutes whatever portion of the Timeline falls within this
range, moving all other clips that are to the right of the affected range either forward to make room if the incoming clip is longer, or back to eliminate gaps if the incoming clip is shorter.