I am sorry for the trouble. We've had a few other users with the same issue. It has been discussed in this thread:
To the best of our knowledge, the error is caused by a registry mis-configuration on your box.
Even Microsoft's own products (like Office) cannot be installed when this occurs.
Microsoft offers a 'FixIt' utility that you may want to try.
You'll find it here. http://support.microsoft.com/kb/886549
Hope this helps.
Dan McMillan, Sep 01, 2010