The most likely reason you are getting this error is that you have mounted the PC drive container onto the desktop in the Macintosh environment. You need to unmount the PC drive container by dragging the icon of PC drive file to the trash (or by selecting it and choosing "put away from the File menu). When the drive file is no longer on the desktop, the Windows 95 installer should be able to access the PC drive container and install per the normal instructions.
Article Change History:
04 Oct 1996 - Corrected minor typo.