Error Creating SilverLight Application Using Visual Studio - Object Reference not set to an instance

The first time you create a Visual Studio Silverlight application and after downloading the required tools (through WPI Launcher or through direct download) for creating such a project (SilverLight Tools for VS 3 / Silverlight Toolkit November 2009 Release / WCF RIA Services Beta for Visual Studio 2008 SP1) you might get the error:

“Object Reference not set to an instance”

Clicking OK loads nothing and you are back at VS startpage. If that is the case, then try doing the following:

Goto Visual Studio 2008 Command Prompt & enter the following commands:

             devenv /ResetSettings

             devenv /ResetSkipPKGS

The 2nd command is most probably what is going to fix the error you are getting!

Restart your Visual Studio now & check whether the error still persists.