I now have Windows 7 64 bit, tried to run a backup - got the same eror message that I got with Vista Home 32bit - it states that the backup couldn't start due to an error 0x81000027. I have run restore points as Tom suggested for me when I had the Vista problem. Still get the error.
I have no 'fix' answer. Seems a lot of Win 7 users have experienced this error. This thread is a bit dated from last fall, but check the last post in this thread. Noe: checked the thread you referred to and other fix ideas and none seem to solve the issue.
By default, the process of backing up will backup files under libraries, as you have saved the files under library you need to remove the location of the folder. Try these steps and check if it helps:
i.Open Windows explorer
ii.In navigation tree, under libraries expand Music
iii.Right click on the subfolder you have already (Joseph, rip etc.) deleted
iv.Select “Remove from the location”
v.Now try to backup and check