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For some reason my virtual Cisco VPN adapter in the Network Connections became stuck in disabled mode. I had to manually re-enable it and then reconnect - that worked for me.
The problem is that you are not completing the path to the file you want to boot from - you need to a forward slash after flash:/ - this is the sequence:enconf tboot system flash:/c3560c405-universalk9npe-mz.122-55.EX3/c3500c405-universalk9npe-mz.122...