Instance recovery may fail with the Address xxx.xx.xx.xx is in use error

Instance recovery may fail with the "Address xxx.xx.xx.xx is in use" error

Issue:
When attempting instance recovery, it may fail with the following error in the recovery log:
Error - First step (launching instance) failed. Reason: Address xxx.xx.xx.xx is in use.

Solution:

This usually happens because you are trying to restore an instance, and its original IP is still in use.
To resolve this issue, please select "Basic Options" in the Instance Recovery screen, and clear the "VPC Assign IP" field.
Once you have cleared this field, a new IP will be assigned to the restored instance automatically.