Check the create folder for a file
spoke to RTI also the main cause that they have found for this issue is lack of memory or recourses on the PC.
Add more virtual memory and reboot

the virtual memory settings (page file) should be set the same for INITAL and MAX size. the client had plenty of virtual memory available when looking at the task manager, what ken said is that a DOS session will not expand virtual memory allocations once it has started. setting the page file to 3000 or higer for INITAL and MAX fixed the problem.