Disclaimer: I don't know anything about Windows, and especially not Windows 7.

I don't think updating the BIOS or card firmware is likely to help when it appears to me that it is Windows rejecting the driver during install as Adaptec have not (correctly) signed it.

A bit of Googling lead me to this thread at MS Technet where other people have had the same problem.  It seems that the easiest is to simply install onto another controller/disk; alternately there looks like is a workaround through copying the drivers from a working system and choosing repair during the installation.