Walk animation keeps snapping - walk in place?

Is there a way to fix a character walk animation that keeps on snapping to the original position - somehow make it walk in place inside unity 3.5.x?

You will either have to have Unity 4 with its new character animation tool and set that up properly so you can adjust the animation. Or you will need to go back to the 3D package the character came from and change the animation for the character to be walking in place. You can also cheat it by placing the character into a empty game object and then counter the animation but this is very sloppy and a pain if you wish to make any changes. I would recommend not doing option 3.