I get an error message that Windows System Restore failed?

I had to cancel the Tresorit account too.  It did not work reliably.  I had three computers synching through Tresorit.  It would not reliably synch every file on all three machines.  Although I was paying for the business level service Tresorit seemed to not like synching more than 500,000 files.  I contacted them within 3-4 days of getting started.  By the end of the 30 day trial period they had not come back with any solutions.  The customer service person was very polite but did not every have a solution.  I have not tried any other service.  Currently without real-time off site storage/synching.  Please post if You find a workable solution.  Thanks, Dan

Sorry to hear :( This is an absolute mess. Neither registry fix below works:

HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet\Control\BackupRestore\FilesNotToBackup

HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet\Control\BackupRestore\FilesNotToSnapshot

$UserProfile$\Dropbox\*.dropbox
$UserProfile$\Dropbox\.dropbox.cache\*.*
$UserProfile$\Dropbox\.dropbox.cache\attrs_cache\*.*
$UserProfile$\Dropbox\.dropbox.cache\icons\*.*
$UserProfile$\Dropbox\.dropbox.cache\new_files\*.*
$UserProfile$\Dropbox\.dropbox.cache\old_files\*.*
$UserProfile$\Dropbox\.dropbox.cache\placeholder_cache\*.*
$UserProfile$\Dropbox\.dropbox.cache\prefetch_cache\*.*
$UserProfile$\Dropbox\.dropbox.cache\qebcobkqbgpbzfynfuwbof\*.*
$UserProfile$\Dropbox\.dropbox.cache\qebcobkqbgpbzfynfuwbof\placeholder.*
$UserProfile$\Dropbox\.dropbox.cache\tmp_dirs\*.*

FilesNotToSnapshot is what System Restore observes. I can verify that the Dropbox cache files are indeed NOT backed up when the files/folders are excluded in the registry. There is a small app System Restore Explorer where one can view the contents of the snaphot. Not quite sure why it still fails. Perhaps the original cache files contained prior to the snapshot is seen as non-conforming during general file verification before over-writing. All the client machines are set for on-line sync only. Not that it matters though.

Creating an additional partition (drive) on the client machine and have all syncing take place there and disabling system restore for that drive is one workaround. That was mentioned earlier in this thread.

Another workaround was to setup a dedicated server (virtual machine) for Dropbox with local/cloud sync. We then setup a mapped drive on the client machines pointing to the local Dropbox server. Doing this, of course, does not require installing the Dropbox app on the client machines. This may not be ideal in some situations if one needs local Dropbox app notifications/interaction. FYI: If you try to point to a mapped UNC path within the Dropbox client app preferences it will not comply.

If no fix is available soon we will be bailing before our renewal.

My reply keeps getting deleted. Sorry

@Walter, I think the support you have shown has to demonstrate about the worst possible response to a wide spread and serious issue that I have ever come across from any software company.

The link you keep posting points to how to make changes to the registry, it has nothing in their about excluding files or folders from being included in restore point or how to do it. 

I'm in Australia and purchased dropbox service in Australia. Dropbox (Dropbox Australia Pty Ltd - ABN 75168008240) is selling a product that it knows has a serious flaw. Is it warning customers prior to them purchasing it that System Restore will no longer restore if an issue occurs?

So far you are not providing a work around in any way. You point people to a site that tells them how to make changes to the registry and you tell them to exclude dropbox.cache by changing the registry but no where do you actually provide instructions on how to do that. You say Dropbox don't support that workaround.

I can assure you of one thing, I am making a lot of noise where ever I go about having to spend a day rebuilding my work laptop after the dropbox.cache issue broke the restore points. 

Silence on answering these questions is not going to help Dropbox reputation.

Walter This issue is still happening, and frankly alarming. 

Can you tell us when the internal ticket was last updated, and where developers are at in fixing this issue?  I'm sure the devs have been very busy on the latest windows app overall, which frankly offers nothing of value to me.  Having an app NOT break restore points, however, is of value.

If we don't get a real response, other than 'devs are looking into it',  I frankly don't see why I should continue using this service and will be requesting a refund. As much as I enjoy the file sharing and syncing abilities, my operating system is more important.

Same here... I had made a system restore backup before installing a program (Gigabyte APP) that I was afraid might create a problem. It did - I can't boot Windows anymore. This is precisely why I made the backup. And now with this dropbox-induced error, I may have to reinstall my whole  Windows system. Dropbox is SOOOOO bad at fixing things. 

I am in the same situation, I have a Windows system restore I must use and have just found out here that Dropbox has broken this functionality.

How can I be paying for software that knowingly causes this problem? Why was I not immediately notified by Dropbox to modify my restore point creation procedure?

I am furious and disgusted. @Walter: Where is the solution?

If I have to fully wipe my windows configuration, I will take every opportunity to highlight the way this has played out.

I am running into this problem also. I think that the issue is that the .dropbox.cache folder is read-only.

As DeeRoche says below, the problem isn't writing to the folder during the restore process. The problem seems to be accessing the backed up folder from the restore point.

I've tried unsetting the read-only bit from the destination folder but this doesn't help. It's the source folder in the restore point that is causing a problem.

I have doubts that I will find any kind of workaround here, but I'm still looking.  In my case, I can't uninstall Dropbox because the computer I need to restore is unbootable.

Hi all.
I too am a developer and was just looking at an issue on my works PC.
Let me tell you all something.
This is not just a Dropbox issue. Onedrive now does exactly the same only on Clientlink.properties, no system restore will work.
Now any PC with onedrive installed and configured has exactly the same issue and we have around 1000 seats all over the world and this is fast becoming a global problem.

I have emailed the US guys and if they find a solution I will post it here.