If you have moved the location of your Favorites folder, IE7’s Protected Mode will prevent you from being able to write to the new location and will cough up an unspecified error when you try to save a web page to your Favorites. Here is how to overcome this:
1. Close Internet Explorer.
2. Click the Start button.
3. Click All Programs.
4. Go into Accessories.
5. Right-click on Command Prompt.
6. Select Run as administrator.
7. When the UAC Prompt appears, click Continue.
8. At the command prompt, go to the new location for your Favorites folder.
9. Input icacls favorites /setintegritylevel (OI)(CI)low.
10. Press Enter on the keyboard.
11. Close the window.
You will now be able to write to your Favorites folder.