Ref:How to install Adobe Digital Editions for Windows

If you have trouble downloading or transferring eBooks, try
clearing your authorization, then reauthorizing ADE

.

1. Did all that. Still getting message:

Error Dialog
This book has been returned. Loan not on record

This is nonsense. ADE showed it in the borrowed list and I could open it and read it in ADE. But after I transfer it to NOOK, even though it shows up in the Digital Editions folder (well over a megabyte file), it wont let me read it. Instead it presents the above error dialog.

2. Tried deleting from ADE (OverDrive says no books borrowed. 4 available copies). Checked out and completed delivery to ADE. Readable in ADE. Plugged in NOOK. Dragged ADE image to NOOK in ADE file list. Before I could eject the NOOK got the error message from ADE:

Adobe Digital Editions
Errors Were Detected
The following items could not be copied to your device.
/!\ The Right Thing to Do (Short Story) CE_COPY_NOT_ALLOWED - No permission to copy the book
For Digital Editions Help and Support, Click here

Another hour going through the Help and Support. No help at all.

My system: Windows 10x64 Enterprise, HP G72t-200 CTO Notebook PC, SSD 500GB/320GB Free