Not enough space - but there is plenty

I get an out of space error but the Backup Storage shows used 52GB and free 180GB. It backed up 2 small files and then stopped with the out od space error. I have 2 smaller backup that worked fine. Any thought are appreciated as I’ve played around with this for days now.

Are you using local storage destination? what is your storage media shows for used and free storage?

Yes a locally attached 300GB usb disk drive. Storage shows used 117GB and free 180GB.

Please DM me your contact email address, I will have one of our engineers to take a look