I have created a service fabric stateless reliable service, in which i used OWIN to host a web API. When I deployed the application to the Local cluster, it worked fine and
Just a little comment from my side..after spending hours on this error the problem was in a low disk space on my C:\
drive. After increasing the free space from around 3GB to 8GB the error disappeared.
As stated here: https://github.com/Azure/service-fabric-issues/issues/15
The default installation requires around 10Gb of disk space today