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What is the difference between applets loaded over the net and applets loaded via the file system?

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What is the difference between applets loaded over the net and applets loaded via the file system?

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There are two different ways that applets are loaded by a Java system. The way an applet enters the system affects what it is allowed to do. If an applet is loaded over the net, then it is loaded by the applet class loader, and is subject to the restrictions enforced by the applet security manager. If an applet resides on the client’s local disk, and in a directory that is on the client’s CLASSPATH, then it is loaded by the file system loader.

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