I read this message placed a while ago: We have just installed 20 (per user) terminal services licences on a brand new terminal server/terminal services licencing server. However when a user logs in, no matter what operating system they are using, the licence server issues a temporary licence and doesnt even touch the purchased licence pool? I have tried logging in several times and re-booting the server, but no change. We are on a domain though not using AD. so I cannot play with GPO's. There were no responses to it. We seem to be having the same problem - our eval period is now over, and the users are getting the "You do not have access to log onto this session" message. When you open TS Licensing it says can't find a licensing server on your network - but when you click connect it does find it. The 20 CALS are showing, but it does not seem to want to allocate them. Any help much appreciated!

Did you try this ? http://support.microsoft.com/default.aspx?scid=kb;en-us;q279561

Cheers Michael -works fine now!