It might help if you described what the goal is. For example, sometimes this sort of question is motivated by the sudden inability to log in - i.e. the system suddenly stops accepting a known password. That sort of problem could be caused by a problem with the "NetInfo" database, which could in turn lead to an "invalid path" error. This is all speculation of course, but that's sort of my point - right now, there isn't much to go on.
For what it's worth, I have tested the command as posted in 10.4.10 (and in the past under 10.3.9) and an "Invalid Path" will result if a non-existent user is specified, or if there is some other error in the path. However, the "new Password" prompt should not appear at all with that form of the command, so there are two things happening that shouldn't be. Too many unexpected results to speculate without further information...