As an inspector here in NJ I am inspecting my first home with arc fault breakers. They were not required in NJ until now (when the 2008 NEC was adopted). Can you install a GFCI receptacle on an AF circuit?
Example; the Living room is AF, can you put the outside GFCI receptacle on this circuit?
I know this may not be a code issue but I hate to see this become an issue on the final. And no the house did not fail for this issue.