Item Not Found error in Windows 7 Pro x64

Renaming folders causes “Item Not Found” error in Windows 7 Pro x64
When I go to rename a folder (location does not matter) I get an “Item Not Found” error with options to “Try Again” or “Cancel”. If I click “Try Again” the same error appears. However, when I click “Try Again” after that it actually proceeds with renaming the folder. I’m not sure what’s causing the error, I just installed Windows 7 one week ago.
The error box contains the following text:
Could not find this item.
This is no longer located in <PATH OF FOLDER>. Verify the item’s location and try again.
I too get this error. It seems to be isolated to external drives for me. I can create the folder, but it throws the same error when I try to delete it. It will also show the same error when trying to create a text file on the external drive as well. I did notice that bringing up a command prompt and executing rmdir works. I would love to know how to correct this as I believe this is the root cause to why windows backup is not working as well.
I’m seeing the exact same activity in Win7 x64 Ultimate. A few weeks ago I got a third hard drive and installed it. The system sees it fine, I can copy files to it and access them without a problem.
But any time I create a folder and attempt to give it a new name, it pops up with
“Could not find this item. This item is no longer located in J:\<blah blah>. Verify the item’s location and try again.”
This also happens if I copy new folders to that drive, and it happens for creating folders at any level, not just the root. In case of either error, if I just hit Try Again it works without further complaint. I’m logged in as the administrator and have verified that the NTFS security is set up for me to have full control. This behavior hasn’t happened for either of the other two drives. For what it’s worth, the other two are Western Digital and the new one is a Seagate. As far as I can tell the BIOS settings for all the drives are the same (save for that the one is set as the boot drive). There are no related event log entries.
I know exactly what it wrong.
I confirmed it several times today.
Its automatic update.
Somethign is updated causing this issue both for 64 and 32bit. Someone needs to trace what KB????? update package causing this ____.
Man how could i forget to dissale automatic update service ? Updates cause more problem than they fix. If its not working out of the box then its ____, but in this case it did work untill update came in :(
Last night i reinstalled 64bit from a scratch  2 times and each time update fini9shed i get this problem. Same with 32bit.
One other problem i find making me want to switch to linux is that when i switched from activated 64bit to 32bit i was not able to activate.
After phone activation i reinstall 32bit again to confirm update causing folders renaming issue and i was not able to activate it again so i just used windows 7 loader.
I dont think its illegal for me to use activation crack, i mean i have the software and it just wont work as expected so F them who make it work this way, i am using activation crack and i am proud of it.
Tell MS to fix this stupid version of windows, it comes with little but very irretating issues
Deleting the following registry keys, and rebooting, has solved the problem for me:
[HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows\CurrentVersion\Explorer\FolderDescriptions\{2112AB0A-C86A-4ffe-A368-0DE96E47012E}]
[HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows\CurrentVersion\Explorer\FolderDescriptions\{2112AB0A-C86A-4ffe-A368-0DE96E47012E}\PropertyBag]
[HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows\CurrentVersion\Explorer\FolderDescriptions\{491E922F-5643-4af4-A7EB-4E7A138D8174}]
[HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows\CurrentVersion\Explorer\FolderDescriptions\{491E922F-5643-4af4-A7EB-4E7A138D8174}\PropertyBag]
[HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows\CurrentVersion\Explorer\FolderDescriptions\{7b0db17d-9cd2-4a93-9733-46cc89022e7c}]
[HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows\CurrentVersion\Explorer\FolderDescriptions\{7b0db17d-9cd2-4a93-9733-46cc89022e7c}\PropertyBag]
[HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows\CurrentVersion\Explorer\FolderDescriptions\{A302545D-DEFF-464b-ABE8-61C8648D939B}]
[HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows\CurrentVersion\Explorer\FolderDescriptions\{A302545D-DEFF-464b-ABE8-61C8648D939B}\PropertyBag]
[HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows\CurrentVersion\Explorer\FolderDescriptions\{A990AE9F-A03B-4e80-94BC-9912D7504104}]
[HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows\CurrentVersion\Explorer\FolderDescriptions\{A990AE9F-A03B-4e80-94BC-9912D7504104}\PropertyBag]
I found the solution at this site: http://www.overclock.net/windows/721973-msupdate-kb980408-warning-all-win7-x64-2.html

Renaming folders causes “Item Not Found” error in Windows 7 Pro x32

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