Lion update won't install due to restore files issues

I have tried to install Lion twice with the same results.  I get an error message telling me that the program was unable to create restore files on the disk so the installation is cancled.  Why does is it not able to create a restore file?

Find your Snow Leopard DVD. Boot from it. Run Disk Utility's Repair Disk routine on your hard drive. If it found and repaired any problems, run it again until no problems are found.
Reboot into Snow Leopard on your hard drive. Run Disk Utility's Repair Permissions routine on your Snow Leopard boot volume. Run it only once, no matter if/how many problems were found and corrected (or not corrected).
Restart your computer while holding down the shift key (for safe boot mode).
Once you're logged in to your account after that restart, try installing Lion.

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