I just figured this out. I backed up (just to be sure I didnt MUBAR) this folder (in my case it was Documents folder).
Then do this: Restore to Default...BUT... instead of clicking yes, click NO.
I still can't figure out how to rename the system folder that is now named (in my case) D:\, but at least it is now pointing to the correct folder on the correct drive.
KEY TO FIXING THE ERROR MESSAGE:
"Failed to build the list of regular subdirectories under D:\System Volume Information. Access is denied"
1) Backup up to be sure you don't lose data
2) Right Click Folder
3) Click Properties
4) Click Locations
5) Click Restore to Default
6) Key Step: click NO regarding files (your files should be left where they are)
7) Find a way to rename the system folder back to it's original name (documents, music, pictures, etc
******REMEMBER TO CREATE RESTORE POINTS BEFORE CHANGING YOUR COMPUTER FOR ANY REASON WHATSOEVER. Apparently, Win 8.1 does not do this automatically?******