UserAgent: Mozilla/5.0 (Windows NT 6.1; Win64; x64) AppleWebKit/537.36 (KHTML, like Gecko) Chrome/54.0.2840.99 Safari/537.36
Platform: 8743.87.0 (Official Build) stable-channel terra

Steps to reproduce the problem:
1. Log in to device, then log out.
2. Change password on another device.
3. Log in to device again, get hit with "To unlock and restore your data, please enter your old Chrome(book|box) password" dialog box
4. Don't know old password, get confused by "Forgot your old password?" option, freak out.

What is the expected behavior?

What went wrong?
The wording "forgot your password" tends to make users think they're about to reset their password again, or get their account locked, or something. It does NOT give the impression that the next screen would be a dialog warning about how local data will be wiped and to "proceed anyway".

Ideally, some wording could be come up with that would indicate this isn't a password change prompt, but instead is a caution before proceeding without entering the old password.

Did this work before? N/A 

Chrome version: 54.0.2840.101  Channel: stable
OS Version: 8743.87.0
Flash Version: 23.0.0.207

Perhaps change "forgot your old password?" to something like "Ignore" or "Ignore and proceed". I'm not certain an entire second screen is useful here, as the warning could just as easily be put on the first screen. Less clicks!

(This is in a school with managed devices, with kids who commonly forget their passwords and have to get new ones all the time.)