I've had the same problem and I've installed it on my Hard Drive and it works fine now. I'm still trying to find aswers to why it's didn't work before though. Mine kept saying "Unreadable Disk" error. It would be fine during a fight but as soon as I was in the main menu or Legacy menu, the error would appear and it put me back on the Xbox 360 Dashboard. But install it on your Hard Drive and it will work fine.
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