To me, it just sounds like either an Installshield file is somehow corrupted, since you can install other software, or a DRM issue since it is games that are giving you an issue.
Seems like a shame to re-format if everything else is working well, but sometimes it is better to do it now than later when you may have a lot of stuff to back up.
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"The problem with any ideology is that it gives the answer before you look at the evidence."
—Bill Clinton
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