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Yes, I'm doing this as root.
I figured out the problem though by looking at my old qmail installation on another machine. The document at bsdquides doesn't have you create the /var/qmail/control/locals file but vadddomain is looking for that file for some reason. Once I created that file and set the right permissions, everything was fine.
Thanks again.
JAM
On my own machine i have never had to create that, and neither did the owner of bsdguides.org when he re did his qmail install from scratch after doing a clean upgrade to FreeBSD 5.2, so i would not know why yours didnt get created :).
I am happy its all up and running correctly.
X-Istence