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Right Click is slow to respond
When you right-click a file/folder, there may be a huge delay before Windows displays the context menu. This problem can be caused by a bad context menu handler.
Context Menu description
A context menu handler is a shell extension handler that adds commands to an existing context menu (Example: cut, copy, paste, print, Scan with Norton etc). A poorly coded context menu handler may be causing any of the above symptoms. As context menu handlers can be implemented at different areas (file class, folder, allfilesystemobjects, HKCR\* registry keys), it's a difficult task for an end-user to pinpoint which shell-extension / context menu handler is causing the problem.
There is a very good application called ShellExView which will help you identify all the the shell extensions. Once the scan is over and the list is displayed, you need to spot the context menu handlers. Sort the results using "Type", so that the context menu handlers are displayed together.
The rule is to disable non-Microsoft context menu handlers one-by-one and verify if the problem is solved. If disabling one does not solve the problem, undo the disabled item and disable the next non-Microsoft handler. Do the same until the problem is solved and finally identify the culprit. Scroll right to see the Company Name column in ShellExView.
Right-click problems on the Desktop
If you have a problem when you right-click on a blank area on the Desktop, then you need to inspect the handlers in this registry key. (ShellExView v1.14 and later versions enumerate the items from this location)
HKEY_CLASSES_ROOT \ Directory \ Background \ shellex \ ContextMenuHandlers
The only handler present by default (in a clean XP installation) is the New handler. If you find any additional sub-keys there, it may have be added by third-party applications. Usually, the software that comes with your graphic card adds entries to the above location.