If your media is failing check, then it's a defective CD - and yes, this will likely affect the OS - probably make it uninstallable.
Re-burn the defective CD and reinstall.
How old is the CD-ROM drive you're using? I had a (&^#$(% of a time last term getting linux installed on a box from 1994 because the drive was just too old to read properly from a CD-R. I swapped out the drive with one from my main box, and install went seamlessly.
--Rounan
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