I have the same issue, its looking for the path C:\Users\PAPIYA~1.DHA which does not exist.
I first uninstalled the SitecoreDockerTools module.
Changed the default directory of the SitecoreDockerTools module to a custom directory by making changes in the init.ps1 script, before setting the env file variables.
if (-not (Test-Path -Path 'C:\...
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Client can only purchase the license compatible for running Sitecore 9 instance.
In my case it was resolved by replacing double backslashes in Microsoft SQL Server instance value with single backslash:
It seems that issue is with slashes escaping. Single and double backslashes both work fine in powershell (because of this you can see some created sitecore databases), but double backslash does not work in Sitecore.Xdb.Collection.Database....