Application failed to register for change notification. Directory='%1'. Error Code: %2 Cause: Encountered a system error ...

Application failed to register for change notification.

Directory='%1'. Error Code: %2
Cause: Encountered a system error when attempting to register change notifications. Configuration flat files loaded by applications from this directory will not be updated until Server is restarted.
Resolution:
This error can happen if the specified directory has been deleted. It could also happen if the Server does not have access to the specified directory. In such cases, update all SPL scripts and restart the Server. If the problem persists contact product support.