Local Group Policy Editor, an administrator can edit local GPOs, disable computer or user settings in Local Group Policy and use scripts for certain tasks that include startup and shutdown. Local Group Policy Editor can be found in all Windows Server versions since Windows Server 2008. Local Group Policy Editor is not available on Windows home editions.
This method can save you from headache of group policies error. I am sure that it will also helpful for those who are facing some problems like folder option error etc...The Local Group Policy Editor has now been reset back to default.

1. Open  command prompt with Administrator rights otherwise you will face problem "Access Denied" Vista or Windows 7 or Windows 8.
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2. In the command prompt, type diskpart, and press Enter

3. In the command prompt, type list volume, and press Enter. You will see your volume list (Partition list). Make a note your Local Drive Letter. For Example here mine is C Drive.

4. In the command prompt, type exit, and press Enter.

5. In the command prompt, type RD /S /Q "C:\Windows\System32\GroupPolicy" and press Enter. Here C is my local drive letter.

6. Again type RD /S /Q "C:\Windows\System32\GroupPolicyUsers" and Press Enter.
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7. Restart the computer.

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