Joomla JFolder::files: Path is not a folder error

I had this weird error on one of my sites after installing Joomla 1.5 through fantastico in cpanel. Long story short something must have gone wrong as for when I tried to create a new section I was met with a lovely jo0mla error:

JFolder::files: Path is not a folder

Warning: Invalid argument supplied for foreach() in /home/site/public_html/libraries/joomla/html/html/list.php on line 62

It turns out that this issue, in my case at least, was that the images/ folder was completely empty! I simply copied the entire images/ folder from another joomla installation and everything is now working fine!

Hope this helps some people.