This operation has been canceled due to restrictions on your computer

They are few solutions:

Reset Web settings

1. Start Internet Explorer
2. On the Tools menu, click Internet Options .
3. Click the Programs tab , and then click the Reset Web Settings button.
4. Under Internet programs, verify that the correct e-mail program is selected
5. Click to select the Internet Explorer should check to see whether it is the default browser check box.
6. Click Apply, and then click OK.

Export the registry key from another computer

1. Click Start, and then click Run
2. In the Open box, type regedit, and then click OK
3. Locate the following registry key: HKEY_Local_Machine\Software\Classes\htmlfile\shell\open\command
4. Click the command folder.
5. On the File or Registry menu (depending on your operating system), click Export
6. Note the location of where the file will be saved. The registry file can be saved directly to the hard drive or floppy disk.
7. Type a unique file name, and then click Save
8. Quit the Registry Editor

Here is the Reg File

Other Possible Solutions

1. Follow the instruction on the following KB articles:
   You receive an error message when you click a hyperlink in Outlook
   http://support.microsoft.com/kb/310049/en-us
2. This issue may occur if there is a Group Policy object (GPO) that restricts what
   programs you can run. Programs can be restricted if either of the following
   policies in the domain organizational unit group policy or a local computer group
   policy have been applied:
   o Do not run specified Windows applications.
   o Run only the allowed Windows applications.
3. In HKEY_LOCAL_MACHINE\SOFTWARE\Classes\htmlfile\shell\open\command change
   “C:\Program Files\Internet Explorer\IEXPLORE.EXE” -nohome to
   “C:\Program Files\Internet Explorer\iexplore.exe” –nohome
   (and viseversa)
4. Delete the DWORD value named DisallowRun. (or remove IEXPLORE.EXE) – To do so: Locate and then click the following registry key: HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Policies\Explorer
5. to narrow the policy causing the issue to be:
   User Configuration \ Administrative Templates \ Windows Components \ Internet Explorer \ Browser menus\
   Disable Open in New Window Menu option — set this to DISABLE if it enable
6. Disable the following Group Policy:
   User Configuration \ Administrative Templates \ Windows Components \ Internet Explorer \ Browser menusFile menu: Disable New Menu option
   File menu: Disable Open Menu option
   File menu: Disable closing the browser and Explorer Windows