Error:

The file “<file.mdf>” is compressed but does not reside in a read-only database or filegroup. The file must be decompressed. Restore database is terminating abnormally.

Snapshot:

Cause:

This is because, a read/write database [.mdf and .ldf] files cannot be created on a compressed drive/directory. [Compressed directory/drive is in blue color.]

Solution 1:

De-compress the drive/data directory.

Right click on “DATA” directory

Click Advanced

Uncheck “Compress contents to save disk space”