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Maybe this will help you. Cant backup 8.1 using system image backup! Error 0x80780119, Cant - Microsoft Community

There is a fix for this. As brink said it's a bug in 8.1. It could be with any of the partitions not just the recovery. For volumes 500MB and less you need at least 50MB of free space for volume shadow copy. Volumes larger than 500MB you need at least 320MB of free space. Before you start...