Sakar, there's nothing wrong with your EDMX file, but there's likely something in your configuration causing the problem. DevForce uses T4 templates to generate code for the model, and it's T4 throwing the error. You might want to try repairing your Visual Studio installation, and also re-installing DevForce. If still no luck, can you provide the following:
Which OS? 32- or 64-bit?
Language?
VS2010 version?
DevForce version?
3rd party tools, such as Re-sharper?
Other versions of Visual Studio on the machine?
Running VS with admin privileges?