Original Post: http://www.boonex.com/unity/forums/#topic/Recompiling-permalinks-An-error-occured-.htm
When I tried to install several stock modules, such as Photos, Sounds and Videos, I would get "-- Recompiling permalinks: An error occured. Contact with module's vendor"
I flushed cache 10 times, and set permission of every file and directory on the site to 777. Nothing helped.
Until I switched the cache engine back to File, the same error kept coming up to random modules.