Our business uses them to restrict portions of our shared drive to certain groups. They're also used to restrict programmatic access to system folders, by Windows.
It's too coarse grained and has annoying and inflexible semantics regarding umask and the setgid bit. And you can only have a single group granted read or write access. What about granting an additional group read-only access? For situations where one group has responsibility for maintaining a dataset, but others need access to the data but are not permitted to modify it. You could use the other permissions, but not if you still need it private for everyone else.
umask: A user with a umask of 0220 can write to the shared directory but no other group members will be able to read
setgid: A user creating a directory with the setgid bit dropped will end up losing the shared group ownership and use their default group instead, again making it impossible for other group members to read and write data
ACLs such as NFSv4 ACLs include inherited ACEs for files and directories, so that the permissions set on newly created files and directories are controlled. Since these extended permissions are outside the scope of the standard group, setgid and umask settings, you have a system which is transparent to all users--once they are set up, no end user needs to care about them.
Multiple editors are needed rarely at my workplace, and I haven't had one case which required multiple editors and multiple readers but no global read only access (in > 8 years).
If I had such a case, the ACL solution could easily be emulated by putting such a directory below another directory which is accessible only to readers and writers. (Yes, files would need mode 664 and the right group. Not saying it's not a kludge, but you can tell people to fix the modes, or write a script which does that. It's a minor pain given that this case seems to be really rare).
Contrast that to ACLs on Windows. What I do know is it has Apache-insane chains of "access" and "deny". I've messed up permissions more than once, as only user of a system. Allegedly confirming to view another user's files in the explorer silently causes destructive changes to all the files in there (that must be why it takes ages). The mechanism is more complicated, so harder to debug, and it's harder to understand where's the problem when things don't work as expected.
Anyways, when things get complicated as you described, doesn't that indicate that a proper VCS should be put in place? Multiple editors is crying for problems. It's easy enough to just put these files in a git repo and be done. The traditional hierarchical file system is convenient for simple (i.e. most) uses, but in the end it's just an object graph with a restriction to avoid loops to achieve some amount of "hierarchical". That object graph model isn't really made for treating subtrees of files uniformly. It doesn't have transactions. It's not good for anything much except helping to organizing a bunch of objects in a DAG.
How do inherited ACLs play with files that are linked from multiple directories?
Inherited ACLs take effect only at creation time inside that directory as far as I understand it; they are basically copied to the new child file/directory. You have to enable it explicitly for ZFS with the aclinherit property. Links won't affect anything--you can't link directories.
Regarding using a "proper VCS", it depends upon what kind of data you're dealing with. We use git for all our code, but git has zero permissions associated with it other than the execute bit. We use the filesystem for data files; we have many terabytes of uncurated and curated data for integration testing and other purposes. Some people have write access to curate it; some accounts need read access (CI slaves, developers); other accounts are not allowed to read it (some is public, some is under NDA, and other restrictions apply).
I certainly agree that on Windows this can look horrific (and is horrific). However, all I'm suggesting for this situation on Unix is to add a single group access control entry, and optionally file+directory inherited entries to ensure their propagation. You add them once at the root, and then that's it; they are set and done. Since you are using just one group permission, you're not getting a huge explosion of entries, and it will remain clean and understandable. I've seen repeated problems with the basic Unix perms over a five year period here which require repeated action by the admins or guilty parties to fix them up, plus the issue with access via Samba or NFS on client systems accessing the data. That adds up to a maintenance burden which can now be eliminated entirely, making life easier for everyone concerned and the infrastructure is more robust as well. None of the end users even need to be aware of the existence of ACLs; unless they manually screw with the automatically set ACEs, it will just work. As with everything there's a cost/benefit to consider; there is a cost, but ACLs are not universally bad.
> Inherited ACLs take effect only at creation time inside that directory as far as I understand it
There is "dynamic inheritance".
> Links won't affect anything--you can't link directories.
You can link files from multiple directories, leading to the question which is the parent from which permissions should be inherited.
> We use git for all our code, but git has zero permissions associated with it other than the execute bit.
Git is just an object model. It doesn't have an authorization scheme, and this is the advantage. It's easy to add authorization schemes that are truly repository-wide and match the requirements. You can write authorization logic which takes a (PERSON x REPO x COMMITBIT) table to handle pushes and pulls. Then for more complex requirements like groups, write a script which generates these per-person-per-repo bits from a per-group permission list and a group membership list - no actual need to code complex (and domain-specific) logic in the authorization layer. (If you have no proper authorization in place and don't want gitlab or gitolite, get in touch with me. It's easy to do it yourself, I even have a (some what over-engineered) solution "gitadmin" at github).
> I've seen repeated problems with the basic Unix perms over a five year period here which require repeated action by the admins or guilty parties to fix them up, plus the issue with access via Samba or NFS on client systems accessing the data.
I know these problems from my workplace, and my assumption (backed by minor experiences from personal use) is that ACLs only make this problem worse. With static inheritance you still have to fix up permissions. Dynamic inheritance is hard to debug. It's easier to just have a script (maybe cronjob) which fixes up permissions.