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Looks like either the disks are already full, or the operation you are attempting will use more scratch space than you have available.
You can try changing the scratch disks from Photoshop Edit > Preferences > Scratch disks
If changing is not an option then you can try emptying your hard drive by deleting some unuseful files.
Please let us know about the outcome.
Sahil, sorry bit late replying, after making the post I searched around a bit and found one that suggested removing the following file (Adobe Photoshop CC 2017 Prefs.psp), I did this and it started to work OK but now still intermittently occurs, I haven't tried your scratch disc option yet, will give that a try, if it works with that I will post a reply.
As Sahil indicated, the issue could be associated to the lack of free HD space. Check the free space in the hard disk when the problem occurs. 16Gb free space is not enough when you are working with large files.