confusing 'svn update'

I must have a confused view of how 'svn update.'

Here's the scenario. User Billy Bob makes changes to a file and commits
said changes.

I execute an 'svn update' but my file remains unchanged. Should it not
be updated to reflect the recent changes Billy Bob made?

I then removed the file, run 'svn update' and the file is replaced with
the file that has Billy Bob's changes.

Someone have a ticket for the clue train for me?

-- 
Until later, Geoffrey
Those who would give up essential Liberty, to purchase a little
temporary Safety, deserve neither Liberty nor Safety.
  - Benjamin Franklin
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