I very recently migrated from a Server 2003 DC to a Server 2008 R2 DC. The migration didn't go smooth. I was forced to demote the 2008, and fix some issues on the 2003 (one of them was to rebuild the sysvol, remove orphaned GPO's and run DCGPOFIX).
I've since re-installed the 2008 R2, and successfully migrated. The 2003 server is now demoted.
Everything appeared to be working correctly, until I introduced a new GPO on a single OU containing one computer object (just for testing). The computer object is for a windows 7 system, and it is now failing "gpupdate" both with and without the force switch.
I've since removed the GPO and placed the computer object back in the built-in "computers" OU, but it is still failing on gpupdate.
Attempting to logoff the system takes a very long time (it's waiting for gpupdate to timeout).
Output from "gpupdate /force" after a very long (~10-15min) timeout:
User Policy update has completed successfully.
Computer Policy update has not completed in the expected time. Exiting...
To diagnose the failure, review the event log or run GPRESULT /H GPReport.html from the command line to access information about Group Policy results.
I have attached a copy of gpresult /h, but I don't see anything of significance.