Error with Caddy while installing Tutor

Trying to create a local Tutor installation through Docker Dev Environments. Getting the following error:

ERROR: for caddy  Cannot start service caddy: failed to create shim task: OCI runtime create failed: runc create failed: unable to start container process: error during container init: error mounting "/home/vscode/.local/share/tutor/env/apps/caddy/Caddyfile" to rootfs at "/etc/caddy/Caddyfile": mount /home/vscode/.local/share/tutor/env/apps/caddy/Caddyfile:/etc/caddy/Caddyfile (via /proc/self/fd/14), flags: 0x5001: not a directory: unknown: Are you trying to mount a directory onto a file (or vice-versa)? Check if the specified host path exists and is the expected type
ERROR: Encountered errors while bringing up the project.
Error: Command failed with status 1: docker-compose -f /home/vscode/.local/share/tutor/env/local/docker-compose.yml -f /home/vscode/.local/share/tutor/env/local/ -f /home/vscode/.local/share/tutor/env/local/docker-compose.tmp.yml --project-name tutor_local up --remove-orphans --build -d

Additional Information:
Sequence of commands after starting empty Docker Dev Environment

sudo apt update
sudo apt install python3 python3-pip libyaml-dev
pip3 install "tutor[full]"
tutor local quickstart

Tutor Version: 14.0.1
Linux Environment: Linux c199f074c868 #1 SMP Fri Apr 2 22:23:49 UTC 2021 x86_64 GNU/Linux
CPU Info:
processor       : 0
vendor_id       : GenuineIntel
cpu family      : 6
model           : 158
model name      : Intel(R) Core(TM) i7-9700K CPU @ 3.60GHz
stepping        : 13
microcode       : 0xffffffff
cpu MHz         : 3600.011
cache size      : 12288 KB

What’s the output of cat /home/vscode/.local/share/tutor/env/apps/caddy/Caddyfile?

Thanks for the reply. Ouput of cat is as follows:

\# Global configuration

\# proxy directive snippet (with logging) to be used as follows:
\#     import proxy "containername:port"
(proxy) {

    log {
        output stdout
        format filter {
            wrap json
            fields {
                common_log delete
                request>headers delete
                resp_headers delete
                tls delete

    reverse_proxy {args.0} {
        header_up X-Forwarded-Port 80
}{$default_site_port},{$default_site_port} {
    @favicon_matcher {
        path_regexp ^/favicon.ico$
    rewrite @favicon_matcher /theming/asset/images/favicon.ico

    # Limit profile image upload size
    request_body /api/profile_images/*/*/upload {
        max_size 1MB
    request_body {
        max_size 4MB

    import proxy "lms:8000"

}{$default_site_port} {
    @favicon_matcher {
        path_regexp ^/favicon.ico$
    rewrite @favicon_matcher /theming/asset/images/favicon.ico

    request_body {
        max_size 250MB

    import proxy "cms:8000"

}{$default_site_port} {
    respond / 204
    request_body {
        max_size 2MB
    import proxy "mfe:8002"

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