This is currently a blocker for all Frappe v15 instances.
setuptools v82.0.0 removed pkg_resources, which is still required by the Dropbox dependency used in Frappe v15. As a result, any fresh Frappe v15 install fails with ModuleNotFoundError: No module named 'pkg_resources'.
Frappe v16 is not affected because the dropbox dependency was moved to offsite_backups and updated to 12.0.2
There is an existing issue tracking this:
https://github.com/frappe/bench/issues/1698
And an open PR that fixes it by capping setuptools to <82.0.0:
https://github.com/frappe/bench/pull/1699
Until this is merged, all new Frappe v15 setups are broken (there is a temporary workaround mentioned in the issue).
Additional note:
The Dropbox Python SDK itself states:
Important: Make sure you’re using v12.0.2 or newer of this SDK by January 2026 for continued compatibility with the Dropbox API servers.
https://github.com/dropbox/dropbox-sdk-python
https://dropbox.tech/developers/api-server-certificate-changes
So the long-term fix is to make Frappe V15 use a newer version of Dropbox.
IMHO Frappe really should start pinning critical dependencies to not break stable releases.