I am getting following error while deploying metadata to Force.com Server
This error is presented (not just during deployments) when Java7 (1.7) is installed. Ran into it myself this morning when trying to set up a new project.
Removing Java7 from the machine so that Eclipse cannot reference it, should revert you back to having just the 1.6 JDK available and you'll be back in business.
Worst case, remove all installed versions of Java and then download & install JDK 1.6 again. If you're running a 32-bit version of Eclipse be sure to install the 32-bit JDK.