Terminal Services 'Exceeded Maximum Number of Licenses' Warning On New Windows 2000 Server Installation

Windows 2000 server has been installed on a new server and shortly after setting up Terminal services ( including testing remote user accounts ) the following message  displays..

" Warning: License usage for a product licensed in per server mode has exceeded the maximum number of licenses purchased and will prohibit further licenses from being granted. Consult the Application event log or License Manager from the Administrative Tools folder for more information."

This problem appears to stop everyone from connecting to the server via Terminal Services and seems unusual because I have read that Terminal Services licenses are per client !? The correct additional license codes appear to have been entered and accepted by Terminal Services; however this does not stop the message appearing. Terminal Services has been previously used on this single PDC domain with an older server.

Should Terminal Services Licensing be re-installed on the server ?

Please document the required steps to solve the problem.
   
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itcroydonAsked:
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JamesDSConnect With a Mentor Commented:
itcroydon
If you have purchased licensing, then you have license support from Microsoft. I suggest you call your local support number as they are likely to be able to solve it much quicker!

Cheers

JamesDS
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itcroydonAuthor Commented:
Thank you for the advice. Microsoft have now confirmed that Terminal Services is licensed ( as well as the Windows 2000 CALS ) and Terminal Services has worked temporarily; however after one internal and one external succesful connection Remote desktop displays a message stating that the client could not establish a connection to the remote computer, due to

1) network errors
2) remote connection is not enabled
3) the maximum number of connections has been exceeded.

Terminal services licensing confirms that their are 20 licenses installed and that 1 has been used ( due to the one remote connection temporarily working ).

Windows event viewer however shows Error 55 in the System Log stating "attempt to send a message to a disconnected communication port", which appears every time a remote desktop user attempts to log on.

If you can advise further this would be greatly appreciated. I have logged this as a separate question as well.
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JamesDSCommented:
itcroydon
Sorry, I really have no idea what is causing that.
I think I would call the helpline again and say the problem still isn't sorted!

Cheers

JamesDS
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itcroydonAuthor Commented:
The Microsoft helpline did eventually unravel the licensing issues - Thanks
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JamesDSCommented:
itcroydon
Welcome, sometimes you just have to call the man!

Cheers

JamesDS
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