A dynamic layer above a sequential deduplication file system (denoted as DFS) implements the rewrite functionality. A user file is composed of one or more DFS files. As incoming data is written into a user file, the data is written by the dynamic layer sequentially into DFS files, created one by one. For each user file this dynamic layer creates and maintains a dynamic metadata file, in a regular, non deduplicated file system. This metadata file contains entries pointing to sections of DFS files.