The stuff here is pretty funky.
I'm in the basement (Isn't the basement the Internet's natrual habitat?), directly under the router.
Router and adapter are both Netgear.
At first, it wouldn't connect unless I held it tight in my hand above my head.
Then that stopped working.
So I threw it to my left on this old mattress being stored down here.
That worked a few times.
Resetted the router and modem a bunch.
Reinstalled drivers over and over.
Reboot, try again, reboot adapter, try again, reboot router, try again, reboot everything, try again.
It started working when i squeezed the adapter a different way.
Then that stopped workin.
So I completely turned off Windows Firewall.
I used the lappy upstairs to find new settings that I never even dreamed of to change around.
Nothing worked.
This morning I thought, "why not?" and set the adapter's driver included Wizard program to Windows XP Service Pack 3 compatibility and when I started it I didn't even see a "Connecting" because it was immediately green and connected. Didn't make it all the way, but for some reason it makes it so that Windows 7 itself can connect.
Perhaps it gets passed the "association" error that I'm getting through diagnostics somehow.
Hopefully it keeps up.
Watching TV all day is not my idea of fun.
EDIT
Your problem is probably similar to mine.
Except I can't plug into the modem because my computer is downstairs, and I don't know the passwords anyway.
Don't want to dick around with someone else's router.
Plug into it, 192.168.1.1 in your browser, and see if you can find anything amiss.
If your windows diagnostic is telling you some errors, go google them and someone will probably tell you what to do.