Visual Studio Unit testing: URI formats are not supported

Last week I tried to execute some Unit Test in a C# Test project on Visual Studio 2010 (in relation to the daily BizTalk development work that I do).  Both options “Run Selection” and “Debug Selection” gave me the following error message “URI formats are not supported”.

What was the problem?  I created the solution just in the default directory because I only needed that solution to test some regex output.   Was unaware that I was working on a network share.

How can you solve the problem? Normally when you add a new “Test Project” to your solution it adds the following files to a solution items folder. 

Just check the “Enable Deployment” property in the “Local.testsettings” and “TraceAndTestImpact.testsettings” under the deployment category, like the example below.