If you are using Windows Vista and it won't allow you to extract the data folder directly to your ForsakenRO folder, you need to give yourself administrator permissions to read/write/modify files of the fRO folder.
To do this, you go to c>programfiles>forsaken RO, right click and select properties. Look at the top of the window and go to security, then click edit to change permissions. Allow your user account full control by checking the box, then check okay and apply. It should extract fine afterwards.