Hi,
Is there any event logs that has captured some details regarding this issue?
Please test by reapplying permissions on the folder "C:\Users\Default".
Right click on the folder - Select Properties - Security - Advanced - Change Permissions
Activate checkbox "Replace all child object permission entries with inheritable permission entries from this object".
Someone resolved the similar error message by resetting the folder permission or copying default folder from working server.
Thanks,
Jenny