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In this case, a user wanted to create one master course shell with several sections within that shell. Using the calendar to create and manage events, they wanted to have different colors associated with each section so they could tell at a glance which events were relevant to which section.
By allowing different colors with each section, a user could easily tell which event was relevant to which section at a glance, thereby saving them time and potential confusion. However, I don't think this would save as much time as feature that would allow users to eliminate the ability to see calendars from past courses.
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