The RD Licensing grace period has expired and Licensing mode for the Remote Desktop Session Host server has not been configured. Licensing mode must be configured for continuous operation.

Problem:

when trying to connect to terminal server windows 2008 R2 I would get this error message.

Solution:

Event ID 1069 — Remote Desktop Services Client Access License (RDS CAL) Availability

Published: January 8, 2010
Applies To: Windows Server 2008 R2

An RD Session Host server must be able to contact a Remote Desktop license server to request Remote Desktop Services client access licenses (RDS CALs) for users or computing devices that are connecting to the RD Session Host server. In addition, the Remote Desktop licensing mode configured on an RD Session Host server must match the type of RDS CALs available on the license server.

Event Details

Product:	Windows Operating System
ID:	1069
Source:	Microsoft-Windows-TerminalServices-RemoteConnectionManager
Version:	6.1
Symbolic Name:	EVENT_LICENSING_MODE_NOT_CONFIGURED_PAST_GRACE_PERIOD
Message:	The RD Licensing grace period has expired and Licensing mode for the Remote Desktop Session Host server has not been configured. Licensing mode must be configured for continuous operation.

Resolve

Specify the licensing mode for the Remote Desktop Session Host server

To resolve this issue, specify the Remote Desktop licensing mode on the RD Session Host server.
The Remote Desktop licensing mode determines the type of Remote Desktop Services client access licenses (RDS CALs) that an RD Session Host server will request from a license server on behalf of a client connecting to the RD Session Host server. Although there is a licensing grace period during which no license server is required, after the grace period ends, clients must receive a valid RDS CAL issued by a license server before they can log on to an RD Session Host server.
Important:  The Remote Desktop licensing mode configured on an RD Session Host server must match the type of RDS CALs available on the license server.
To perform this procedure, you must have membership in the local Administrators group, or you must have been delegated the appropriate authority.
To specify the Remote Desktop licensing mode:

1. On the RD Session Host server, open Remote Desktop Session Host Configuration. To open Remote Desktop Session Host Confiiguration, click Start, point to Administrative Tools, point to Remote Desktop Services, and then click Remote Desktop Session Host Configuration.
2. If the User Account Control dialog box appears, confirm that the action it displays is what you want, and then click Yes.
3. Under Licensing, double-click Remote Desktop licensing mode.
4. Select either Per Device or Per User, depending on your environment.
5. Click OK.

Note:  You can also specify the Remote Desktop licensing mode for an RD Session Host server by using Group Policy.

• To specify the Remote Desktop licensing mode for an RD Session Host server by using Group Policy, enable the Set the Remote Desktop licensing mode Group Policy setting. This Group Policy setting is located in Computer Configuration\Administrative Templates\Windows Components\Remote Desktop Services\Remote Desktop Session Host\Licensing. Note that the Group Policy setting will take precedence over the setting configured in Remote Desktop Session Host Configuration.
• To configure the Group Policy setting in Active Directory Domain Services (AD DS), use the Group Policy Management Console (GPMC). To configure the Group Policy setting locally on an RD Session Host server, use the Local Group Policy Editor. For more information about configuring Group Policy settings, see either the Local Group Policy Editor Help (http://go.microsoft.com/fwlink/?LinkId=143317) or the GPMC Help (http://go.microsoft.com/fwlink/?LinkId=143867) in the Windows Server 2008 R2 Technical Library.

Verify

To verify that the RD Session Host server can contact a Remote Desktop license server with the appropriate type of Remote Desktop Services client access licenses (RDS CALs), use Licensing Diagnosis in Remote Desktop Session Host Configuration.
To perform this procedure, you must have membership in the local Administrators group, or you must have been delegated the appropriate authority.
To use Licensing Diagnosis in Remote Desktop Session Host Configuration:

1. On the RD Session Host server, open Remote Desktop Session Host Configuration. To open Remote Desktop Session Host Configuration, click Start, point to Administrative Tools, point to Remote Desktop Services, and then click Remote Desktop Session Host Configuration.
2. If the User Account Control dialog box appears, confirm that the action it displays is what you want, and then click Yes.
3. In the left pane, click Licensing Diagnosis.
4. Under Remote Desktop Session Host Server Configuration Details, the value for Number of RDS CALs available for clients should be greater than 0.