Does anyone have any experience with this disease or perhaps knows of someone who does?

Good grief, never heard of it...

Me neither, I hope the vet's diagnosis is wrong!

Is it similar to dysplasia? and does one of your babies have this???

There are some interesting articles if you google it - which im sure you have done. It seems like something that can be fixed but looks very serious. If caught early it might not require surgery. I hope you get through whatever is happening to one of your babies

Yep, one of my 7 month babies from Peanut!
It causes a lot of pain for the poor little guy. He is on anti-inflammatories.

I have a lot of reading to do!

Apparently younger dogs, normally Yorkies are prone to it - a little scary, I have never heard of it before. Let us know how he goes, poor baby

It seems like it can even be caused by injury, the best article I found on the subject was at:
http://www.vetsurgerycentral.com/legg_calve.htm
It shows that the affected dogs should not be bred with encase it is inherited.
The operation that they do is very successful and small dogs can mostly have a completely normal life afterwards!

Very Good News!

I also read that if caught in the early stages sometimes surgery isnt required and they can be rehabilitated. Very good news!