Windows: Virtual Disk Manager: The parameter is incorrect

Problem

Trying to shrink the Windows C: partition via { right click Windows Start | Disk Management | right click Windows (C:) | Shrink Volume... } yields error message "The parameter is incorrect", via these messageboxes:

Querying Shrink Space
Querying volume for available shrink space, please wait...

Virtual Disk Manager
The parameter is incorrect

Environment

• Windows 10 Pro, Version 1607, 64 bit
• Partition table:

+-----------+------------------------+--------------------------------+-------------------+
| Disk 0    |                        |                                |                   |
| Basic     |                        | Windows (C:)                   |                   |
| 238.46 GB | 260 MB                 | 237.23 GB NTFS                 | 1000 MB           |
| Online    | Healthy                | Healthy (Boot, Page File,      | Healthy (Recovery |
|           | (EFI System Partition) | Crash Dump, Primary Partition) | Partition)        |
+-----------+------------------------+--------------------------------+-------------------+

Solution

All of a sudden (Jul 20, 2017), I'm able to shrink the C drive. I was just about shutdown in order to overwrite the partition when Windows wanted to install updates and after that I tried shrinking for the last time and no errors this time.

Below are the installed updates. I'm suspecting the last one (KB4025339), but can't find any details.

2017-07 Cumulative Update for Windows 10 Version 1607 for x64-based Systems (KB4025339)

Successfully installed on 7/20/2017

Update for Windows 10 Version 1607 for x64-based Systems (KB4033637)

Successfully installed on 7/19/2017

Windows Malicious Software Removal Tool for Windows 8, 8.1, 10 and Windows Server 2012, 2012 R2, 2016 x64 Edition - July 2017 (KB890830)

Successfully installed on 7/16/2017

2017-06 Update for Windows 10 Version 1067 for x64-based Systems (KB4023834)

Successfully installed on 7/16/2017

2017-07 Security Update for Adobe Flash Player for Windows 10 Version 1607 for x64-based Systems (KB4025376)

Successfully installed on 7/16/2017

Windows 10 Creators Update Privacy Settings for x64-based Systems (KB4013214)

Successfully installed on 7/15/2017

Workaround

From this forum it appears the error is caused by the recovery partition at the end of the drive.

The solution proposed is to make sure Windows is activated and then delete and reinstall Windows on a repartitioned drive.

See also: https://www.howtogeek.com/224342/how-to-clean-install-windows-10/

Make sure Windows is activated via { Start | Settings | Update & security }

From: https://support.microsoft.com/en-us/help/12440/windows-10-activation:

"If you activated a free upgrade to Windows 10 or bought and activated Windows 10 from the Store, you have a digital license for your device. This means you can reinstall the same edition of Windows 10 that your device has a digital license for without entering a product key. During reinstallation, if you’re asked to enter a product key, you can skip this step. Windows 10 will automatically activate online after the installation is complete.

Notes

Make sure that Windows 10 is activated before you try to reinstall it."

Disclaimer: I haven't reinstalled yet.