oh boy, if you tried disk utility to run repair and then also ran permission repair, then went through set up again and at 75% or so, you got the same error, then I dont think another format would do the trick, and let the software install. About the only other solution I could give at this...
First start up with your cd or dvd, then once the mac is booted off the dvd/cd rom drive, quit set up, and open up disk utility, you will find it at the upper left corner of your monitor screen. run repair, till all headers are fixed on the drive that you want to install your mac os on, dont...