Thanks for the information.  The term.log has entries like

files list file for package `netcat-traditional' contains empty filename

which do suggest you have corrupted package index.  Please try doing

sudo apt-get clean

before doing the

sudo apt-get update && sudo apt-get -y dist-upgrade && sudo do-release-
upgrade

Please also check that 'df -h /' does not show your root disk being
full.

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https://bugs.launchpad.net/bugs/1356743

Title:
  package libcap2 1:2.22-1ubuntu3 failed to install/upgrade:
  ErrorMessage: package libcap2 is already installed and configured

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