How to fix the “Monitor Profile appears to be defective” Photoshop error message

Go to Control Panel -> Color Management.
In the Devices tab you’ll see the Display: ThinkPad Display (resolution) – (graphics card) associated with the TPLCD.icm ICC profile.

This profile is the one conflicting with Adobe Photohop.
What I did was choose another profile that doesn’t conflict.

Check the “Use my settings for this device” box, press the “Add…” button, select the other ICC Profile (the one that appears to me is sRGB IEC61966-2.1) and set it as the default profile.