When trying to encapsulate a disk you receive this error.
You must meet the minimum requirements to encapsulate a disk:
You must have two free, zero-length, slices on the disk (no cylinders should be assigned to these slices).
You must have two free cylinders on the disk. These two cylinders must not be in use by any slice other than slice two.
The two free cylinders must be located at the beginning or end of the drive.