There are two problems:
you do not need to re-declare labels for latex mode, as this is already done in folder.el line 4411 . So you have to delete the line(folding-add-to-marks-list 'latex-mode "%{" "%}" nil t)
Wrong type argument: char-or-string-p, nil, folder-mode . (folding-mode-add-find-file-hook) folder-mode . folder-mode, folded-file , , , lisp:
;; -*- folded-file: t; -*-
(folding-mode-add-find-file-hook) .emacs folder-mode, folding-fold-region .
C-h f folding-mode-add-find-file-hook RET, .