Resolving "Error occurred in deployment step ‘Activate Features’: Invalid file name"

The other day I was working on a SharePoint project that required the deployment of a Content Type, a List Template, a couple of List Instances and a couple of Feature Receivers. Things were coming along well until I started to reorganize the project. I dragged the List Instances into the List Template folder and renamed several folders to better represent their purposes.

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Resolving "Error occurred in deployment step ‘Activate Features’: Invalid file name"