Hi,

1.      What is the make and model of the computer?

2.      Which security software is installed?

3.      Which update was installed recently?

 

Method 1.

As this issue occurred after a recent update, you may try a system restore and check if this helps.

You can use the restore points to return Windows 7 to a previous state when your computer was functioning correctly.

System Restore: http://windows.microsoft.com/en-us/windows7/products/features/system-restore

Important: System Restore will not revert any of the non-system files like documents, email, music, etc. to a previous state. These types files are completely unaffected by System Restore. If your intention with this tool was to recover a deleted non-system file, try using a file recovery program instead of System Restore.

 

Method 2.

As the issue does not occur in a new user account, you may refer to this article and check if this helps.

Fix a corrupted user profile: http://windows.microsoft.com/en-us/windows7/fix-a-corrupted-user-profile

 

Method 3.

Run a full computer scan with the Microsoft Safety Scanner to make sure that the computer is virus free.

Microsoft Safety Scanner: http://www.microsoft.com/security/scanner/en-us/default.aspx

Safety Scanner Disclaimer: There could be a loss of data while performing a scan using Microsoft safety scanner to eliminate virus if any.

Let us know if you need further help with any windows issue. We will be glad to help.

I will respond to your suggestions in order.

1. The computer make and model is irrelevant.
I am running an Intel Quad-Core i7 @ 3.2 Ghz  with 64 Gb of RAM

2. Norton Security Suite is installed and has NO Bearing on this issue.

3. I do not know what the update reference is?  However, I forgot to mention, I actually did do a roll back of the security patch update and this did solve the problem. 
However, due to security concerns I have subsequently allowed additional updates which re-introduce this issue/problem.

Method 1. Is not an option
Method 2. I have tried this - the procedure is flawed.  Creation and copying of one profile
to another assumes Security Permissions are set for additional profiles.  Following the listed procedures I am prompted by a message indicating Access is Denied.  The user in question
is indeed an Administrative user.
Method 3. Done this as detailed - does NOT work, did not help.

Look, yes I can do a system restore. 
Yes I can do a fresh install. 

Come on this is a problem embedded in Windows 7 's registry.  How about putting
your collective heads together and coming up with a viable fix, utility whatever. 

This is an annoyance at best but a persistent annoyance for sure.

Take 5 minutes, search the web and take note I am NOT the only person faced with this
problem.  The suggestions you offered have been posted to other users who also indicated this
problem as well and HAVE NOT WORKED!?!?

How about narrowing my issue to something simple: 
Right Click on a JPG file and Set as Wallpaper -

when I do this NOTHING happens,
no message,
no change to the desktop. 
What is the fix for this?

Hi,

 

Thanks for the reply.

 

As the system restore did solve the problem, you may change the update settings and check the status.

 

 

You may change the update settings to “Check for updates but let me choose whether to download and install them” and save the settings. This setting will let you choose the updates before installing.

 

Change how Windows installs or notifies you about updates: http://windows.microsoft.com/en-in/windows7/change-how-windows-installs-or-notifies-you-about-updates

 

 

Let us know if you need further help with any windows issue. We will be glad to help.

I've been having the same question.

As stated above, the issue was corrected after a system restore and is happening again; and I am also not a novice here. My computer belongs to a corporate domain, where I work in IT. I have notified technicians who have access to systems policies, and have been assured that there are no policies in place blocking this; and it's occurred with at least 2 other users (of whom I am personally aware). It's not happening throughout the network, but rather sporadically.

Yes, it's my job to support people at this company, but I can't do that if MICROSOFT can't provide any answers.

Opting out of System Updates isn't an option here. There is too much at stake.