Windows 7 Program Install Error "The system administrator has set policies to prevent this installation"

[MISSupport]

Brand new laptop and only two users set up (administrator - local computer and end user - domain). Gave end user "administrator" previledges but when user tries to install software they receive the following error "The system administrator has set policies to prevent this installation". End user can right click on installable program and "run as administrator" and it works, but doesn't work if user tries the install as their profile.

We have googled this error and referenced most suggested fixes, local policy setting, but in the registery - HKLM\Software\Policies\Microsoft\Windows\Installer doesn't exist so can't set the "DISABLEMSI". We don't believe either that there are any GPO dictating any local policies, as we have other units running Windows 7 with the same set ups and their don't receive the error when installing programs.

Not sure what else to do to fix this issue so that the end user can install programs on their laptop.

Please any suggestions would greatly be appreciated!!

 

[Trouble]

First double check the user properties for "end user" on the local machine, make sure that his domain user account is a member of the local administrators group and no other local groups.
Second just as a test disable the User Account Control on the problem machine.
Type user account control in the search box and hit enter, drag the slider to the bottom, click ok and reboot. If the problem persists then return it to whatever the previous setting was and reboot and let us know.
Are the other machines that are not having issues, the same version of Windows 7? What version(s) are you using. What server version are you using on the domain controller?

 

[MISSupport]

The "end user" on the local machine is set in the Control Panel/User Accounts to the Group "administrators" under Manage User Accounts and no other local groups.

I will try the test of disabling the UAC and see if the error still occurs.

All other machines, including this particular one, are running Windows 7 Pro and the domain controller is running Windows 2008 Server.

 

[Trouble]

Double check the user account group membership by using the following steps.
Right click computer and choose manage
In the computer management console expand local users and groups and then select/highlight Users
Double click the user account name and select the Member of tab
The list of groups that the member is included in should display
remove him from any extraneous groups like local users

 

[MISSupport]

I checked the account group membership and the end user is not listed in the local users and groups. The only users listed are the original local user set up with when first received the new laptop and then the 2 built-in users "Administrator" & "Guest".

Most all our units are set in this same manor with one local unit log in and then the end user's profile is created once the unit has been joined to the local domain. Once joined to local domain, the end user is then added to the User Accounts under the control panel and set to the group "Administrators".

 

[Trouble]

makes complete sense to me, so I guess you need to determine where you are in that process. Compare the properties of the same user account or similar user account on the other machines that are joined to the domain also double check how the user account control is set on those machines. The only other thing I can think of is that perhaps if this user is unique, then he may have conflicting domain group membership which might cause an issue, again compare his domain user account and it's group membership to others without this issue.
I assuming of course that you've already joined the machine to the domain and added his domain credentials to the local Administrators group, which is what I thought I understood from your original post.