ERROR: The virtual machine cannot be started

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Symptoms

Parallels Desktop displays the following error:
 

The virtual machine cannot be started

Cause

According to Apple Software License Agreement,  you may install and run  Mac OS  10.5 Leopard and Mac OS X 10.6. Snow Leopard Virtual Machines only on Mac OS X Server host computers.

You may install run Mac OS X 10.7 Lion and OS X 10.8 Mountain Lion Virtual Machines on any Mac computer.

Note: In case your system corresponds the above stated requirements but you still get this error, please contact Parallels Technical Support

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