Remote Desktop Licensing

So today a user tries to connect to our terminal server, and they receive the following error:
"The remote session was disconnected because there are no remote desktop license servers available to provide a license."

I log onto the server via console, and open RD Licensing Manager and I see the server is Activated, there are 70 licenses installed and 0 used... so I open RD Licensing Diagnoser on the server and see two issues:
"The licensing mode for the Remote Desktop Session Host server is not configured"
"The grace period for the Remote Desktop Session Host server has expired, but the RD Session Host server has not been configured with any license servers. Connections to the RD Session Host server will be denied unless a license server is configured for the RD Session Host server."

And yes the server is about 4 months old. So what the heck do I need to do here? I have 70 licenses installed, but nothing is working. Can someone help me out? Need this solved ASAP.
LVL 5
CoSmismgrAsked:
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Joshua GrantomSenior Systems AdministratorCommented:
Open Server Manager.
Navigate to the Remote Desktop Services navigation area.
Select the Overview branch.
Under the Deployment Overview area, select Edit Deployment Properties from the Tasks menu.
Select the RD Licensing page of the displayed dialog.
Specify the licensing mode and the license server, then click OK.
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CoSmismgrAuthor Commented:
I receive the following when selecting the licensing server:
"The license server specified is not valid. Verify the server name and specify a valid server name before saving the settings."

I dont know why it's saying it is not a valid license server.
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rhandelsCommented:
I believe you still need to choose of the server is in Computer or user licensing mode (the CAL's that is). Are your CAL's computer or user specified? Log on to the server that should be the licensing server and normally, when you log into the licensing console, you should be able to configure the license.
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CoSmismgrAuthor Commented:
The server was not added as a licensing server, so I added the role and then was able to select it as the licensing server and set the licensing mode to User. Still get the same error when trying to connect via RDP though.
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Lee W, MVPTechnology and Business Process AdvisorCommented:
As I recall I think I have seen this before.

http://www.stopdoingitwrong.co.uk/server-2012-rds-there-are-no-remote-desktop-license-servers/

From the above link:
HKLM\System\CurrentControlSet\Control\Terminal Server\RCM

If the ‘GracePeriod’ key exists you will need to delete it.

Note: You will need to give administrators read and write access to the key or you won’t be able to delete it. Also please observe the usual precautions when working with the registry and take a backup first.
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CoSmismgrAuthor Commented:
Deleted the Grace Period key, and restarted, and I was able to RDP to the server! Testing other users' access now.
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CoSmismgrAuthor Commented:
That seemed to work, users have access once again. Thanks all
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Joshua GrantomSenior Systems AdministratorCommented:
you're welcome!
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Windows Server 2012

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