Cannot create Hyper-V Virtual Machine - General Access Denied 0x80070005
Solution 1:
It's almost certainly due to NTFS permissions. Have you tried creating the machine somewhere other than under the C:\Users folder? Perhaps try creating a new folder and giving the Everyone group full access on it, and see if you can create a VM in there. I don't recommend you leave the permissions set like that, but this would confirm that it's a filesystem permission issue.
Does the host server have any other roles installed? Is it a domain controller, for example?
Solution 2:
Ok, I had a similar problem, but not exactly the same, so I'll leave my acquired knowledge here for future reference:
Something totally screwed up folder permissions on my Hyper-V Server and I started getting these same 0x80070005 Access Denied errors, when creating VM's, starting or resuming Replication, etc.
My troubleshooting method was to use SysInternals ProcMon to catch all vmms.exe activity during an operation that was giving this error. I had to do it on both Servers, Primary and Replica, to find on which one the error was actually happening.
This made me find out which files vmms.exe was actually having trouble accessing. I had a different Hyper-V server that was working fine, and I used it to compare the permission settings on that server and discover what was missing.
The problems were around two directories and their subdirectories:
c:\ProgramData\Microsoft\Windows\Hyper-V (this is a configuration directory that exists on all Hyper-V 2012 servers)
e:\hyper-V Replica (this is the directory I had setup to receive replication)
A lot of permissions that were present on the working server had mysteriously gone missing on the broken server. With the correct settings I made up this batch file to run on the broken server:
echo WARNING: back up before running this! Could damage your server and data! Make sure you know what you're doing.
echo Hit CTRL-Break to cancel.
pause
c:
cd c:\ProgramData\Microsoft\Windows\Hyper-V
icacls "InitialStore.xml" /T /grant:r "BUILTIN\Administrators":(F)
icacls "InitialStore.xml" /T /grant:r "NT AUTHORITY\SYSTEM":(F)
icacls "InitialStore.xml" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(R)
icacls "Planned Snapshots" /T /grant:r "BUILTIN\Administrators":(F)
icacls "Planned Snapshots" /T /grant:r "BUILTIN\Administrators":(OI)(CI)(IO)(F)
icacls "Planned Snapshots" /T /grant:r "NT AUTHORITY\SYSTEM":(F)
icacls "Planned Snapshots" /T /grant:r "NT AUTHORITY\SYSTEM":(OI)(CI)(IO)(F)
icacls "Planned Snapshots" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(R,WD,AD)
icacls "Planned Snapshots" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(CI)(IO)(GR,WD,AD)
icacls "Planned Snapshots" /T /grant:r "CREATOR OWNER":(OI)(CI)(IO)(F)
icacls "Planned Snapshots Cache" /T /grant:r "BUILTIN\Administrators":(F)
icacls "Planned Snapshots Cache" /T /grant:r "BUILTIN\Administrators":(OI)(CI)(IO)(F)
icacls "Planned Snapshots Cache" /T /grant:r "NT AUTHORITY\SYSTEM":(F)
icacls "Planned Snapshots Cache" /T /grant:r "NT AUTHORITY\SYSTEM":(OI)(CI)(IO)(F)
icacls "Planned Snapshots Cache" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(R,WD,AD)
icacls "Planned Snapshots Cache" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(CI)(IO)(GR,WD,AD)
icacls "Planned Snapshots Cache" /T /grant:r "CREATOR OWNER":(OI)(CI)(IO)(F)
icacls "Planned Virtual Machines" /T /grant:r "BUILTIN\Administrators":(F)
icacls "Planned Virtual Machines" /T /grant:r "BUILTIN\Administrators":(OI)(CI)(IO)(F)
icacls "Planned Virtual Machines" /T /grant:r "NT AUTHORITY\SYSTEM":(F)
icacls "Planned Virtual Machines" /T /grant:r "NT AUTHORITY\SYSTEM":(OI)(CI)(IO)(F)
icacls "Planned Virtual Machines" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(R,WD,AD)
icacls "Planned Virtual Machines" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(CI)(IO)(GR,WD,AD)
icacls "Planned Virtual Machines" /T /grant:r "CREATOR OWNER":(OI)(CI)(IO)(F)
icacls "Planned Virtual Machines Cache" /T /grant:r "BUILTIN\Administrators":(F)
icacls "Planned Virtual Machines Cache" /T /grant:r "BUILTIN\Administrators":(OI)(CI)(IO)(F)
icacls "Planned Virtual Machines Cache" /T /grant:r "NT AUTHORITY\SYSTEM":(F)
icacls "Planned Virtual Machines Cache" /T /grant:r "NT AUTHORITY\SYSTEM":(OI)(CI)(IO)(F)
icacls "Planned Virtual Machines Cache" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(R,WD,AD)
icacls "Planned Virtual Machines Cache" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(CI)(IO)(GR,WD,AD)
icacls "Planned Virtual Machines Cache" /T /grant:r "CREATOR OWNER":(OI)(CI)(IO)(F)
icacls "Resource Types" /T /grant:r "BUILTIN\Administrators":(F)
icacls "Resource Types" /T /grant:r "BUILTIN\Administrators":(OI)(CI)(IO)(F)
icacls "Resource Types" /T /grant:r "NT AUTHORITY\SYSTEM":(F)
icacls "Resource Types" /T /grant:r "NT AUTHORITY\SYSTEM":(OI)(CI)(IO)(F)
icacls "Resource Types" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(R,WD,AD)
icacls "Resource Types" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(CI)(IO)(GR,WD,AD)
icacls "Resource Types" /T /grant:r "CREATOR OWNER":(OI)(CI)(IO)(F)
icacls "Snapshots" /T /grant:r "BUILTIN\Administrators":(F)
icacls "Snapshots" /T /grant:r "BUILTIN\Administrators":(OI)(CI)(IO)(F)
icacls "Snapshots" /T /grant:r "NT AUTHORITY\SYSTEM":(F)
icacls "Snapshots" /T /grant:r "NT AUTHORITY\SYSTEM":(OI)(CI)(IO)(F)
icacls "Snapshots" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(R,WD,AD)
icacls "Snapshots" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(CI)(IO)(GR,WD,AD)
icacls "Snapshots" /T /grant:r "CREATOR OWNER":(OI)(CI)(IO)(F)
icacls "Snapshots Cache" /T /grant:r "BUILTIN\Administrators":(F)
icacls "Snapshots Cache" /T /grant:r "BUILTIN\Administrators":(OI)(CI)(IO)(F)
icacls "Snapshots Cache" /T /grant:r "NT AUTHORITY\SYSTEM":(F)
icacls "Snapshots Cache" /T /grant:r "NT AUTHORITY\SYSTEM":(OI)(CI)(IO)(F)
icacls "Snapshots Cache" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(R,WD,AD)
icacls "Snapshots Cache" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(CI)(IO)(GR,WD,AD)
icacls "Snapshots Cache" /T /grant:r "CREATOR OWNER":(OI)(CI)(IO)(F)
icacls "Virtual Machines" /T /grant:r "BUILTIN\Administrators":(F)
icacls "Virtual Machines" /T /grant:r "BUILTIN\Administrators":(OI)(CI)(IO)(F)
icacls "Virtual Machines" /T /grant:r "NT AUTHORITY\SYSTEM":(F)
icacls "Virtual Machines" /T /grant:r "NT AUTHORITY\SYSTEM":(OI)(CI)(IO)(F)
icacls "Virtual Machines" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(R,WD,AD)
icacls "Virtual Machines" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(CI)(IO)(GR,WD,AD)
icacls "Virtual Machines" /T /grant:r "CREATOR OWNER":(OI)(CI)(IO)(F)
icacls "Virtual Machines Cache" /T /grant:r "BUILTIN\Administrators":(F)
icacls "Virtual Machines Cache" /T /grant:r "BUILTIN\Administrators":(OI)(CI)(IO)(F)
icacls "Virtual Machines Cache" /T /grant:r "NT AUTHORITY\SYSTEM":(F)
icacls "Virtual Machines Cache" /T /grant:r "NT AUTHORITY\SYSTEM":(OI)(CI)(IO)(F)
icacls "Virtual Machines Cache" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(R,WD,AD)
icacls "Virtual Machines Cache" /T /grant:r "NT VIRTUAL MACHINE\Virtual Machines":(CI)(IO)(GR,WD,AD)
icacls "Virtual Machines Cache" /T /grant:r "CREATOR OWNER":(OI)(CI)(IO)(F)
(I didn't bother to check if that is all the same for all directories, maybe it is and you could just set it up with a few commands one directory level above)
I had to do something similar in my Hyper-V Replica directory for Replication to work again.
I hope this helps someone...