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I'm using Win7 64 (It must be different for 32 bits), Go to [HKEY_LOCAL_MACHINE\SOFTWARE\Wow6432Node\Valve\Steam\Apps\208480]
And there must be 4 entries.
DXSetup
Punkbuster
UplayLauncher
VCRedist
Sometimes the VCRedist entry is not there and that was causing the problem in my case so I needed to create a new DWORD Value (32-Bits) named it "VCRedist" and set the value to "1", closed regedit and next time I launched AC 3 it didn't ask for the first time setup. If you are missing some of the other keys just add them as a DWORD with value 1 with their respective name.
For anyone else trying to correct this issue, this fixed it for me
Thanks Turin
And the trade-off is the huge hassle of UAC. You'll have an easier time turning it off and getting a proper security suite.
That's what anti-virus programs are for. Also being careful with your internet browsing. It's worth noting that Microsoft seriously dialed back what UAC can do with 7 and 8; it was such a pain in the ass with VIsta, almost no one used it.
Although such an old post, but still - resolved for me so thanks!
BTW - Kudos for what this user wrote as it is accurate: