Fix: SQL Server Setup cannot install files to the compressed or encrypted folder

This error often pops up while installing SQL Server Express / Full edition on machine.

Fix:

• Right Click the folder (say, C:Sql2005) in which you wish to install SQL Server.
• In Tab 'General', click on 'Advanced'
• Uncheck 'Compress contents to save disk space'
• Uncheck 'Encrypt contents to secure data'

and try installing. If this does not work, please log in the comment.