Error when opening app (NW.js cannot read and write to data directory: User Data)

Opening my desktop app via the “Windows Recorder” option throws this “NW.js cannot read and write to data directory: User Data” error:

When I open the app via the " Native Windows Recorder" option, it doesnt throw the same error and I can can record and save my steps. However when running the test case I receive the same error as above and my test case fail

No new entries are created in the error log.

Not sure if the issue is on my side or if its a bug.
Please help.