Windows 7 install .net 1.1
This is essentially a repost from this website . .Net 1.1 will not install on Windows 7 without service pack 1. Microsoft does not provide .Net 1.1 with SP1 prepackaged. Attempting to install .net 1.1 without sp1 on Windows 7 will yield this error.
To combine .Net 1.1 and SP1 into an installable bundle (slipstream) follow these steps or at the end of this post you can get the bundled product with the link provided.
Follow these steps:
1. Create a new folder named DotNet in C:\ drive. (The path i used was C:\DotNet )
2. Download Microsoft .NET Framework 1.1 Redistributable Package
(dotnetfx.exe). Make
sure the setup file is saved as dotnetfx.exe.
3. Download Microsoft .NET Framework 1.1 Service Pack 1
(NDP1.1sp1-KB867460-
X86.exe). Rename the file to dotnetfxsp1.exe.
4. Copy both installation files into the same directory (i.e. C:\DotNet),.
5. Open Command Prompt as Administrator.
6. Change to the directory where the two installation files are stored, ie C:\DotNet.
7. Run the following commands one by one.
c:\FolderYouPutTheFilesIn\dotnetfx.exe /c:”msiexec.exe /a netfx.msi TARGETDIR=C:\DotNet”
You will see this. 
Click Yes and wait for Completion.

Run this command
c:\FolderYouPutTheFilesIn\dotnetfxsp1.exe /Xp:C:\DotNet\netfxsp.msp
then…
msiexec.exe /a c:\DotNet\netfx.msi /p c:\DotNet\netfxsp.msp
A dialog box will appear and the installer will disappear automatically.
8. Install Microsoft .Net Framework 1.1 with slipstreamed Service Pack 1 by running netfx.msi from the working folder.
Or you can forget all that shit and download the bundled (slipstreamed) package here.
http://www.filedropper.com/dotnet11slipstreamsp1
Hope this helps.
Scott.