Not much to say other than most uploads of images give this exact error shown in the topic title.
Then when I try to go back to the library and resmush, I get an error stating:
Could not find /home/myuser/public_html/wp-content/uploads/
After uploading, I can access via the library, but can be very frustrating. It does work about 20% of the time (or less) without any rhyme nor reason.