"The remote session was disconnected because there were network problems during the licensing protocol" after enabling RemoteFX Windows 8 VM

I receive the error anytime I try to connect (from Windows 7 physical client machines running the recent RDP 8 "update") to the Windows 8 VM (w/RemoteFx enabled) running on Windows Server 2012 Hyper-V Server. The GPU on the server is DirectX 11 capable. At one point this was working, however, just recently this stopped working (not sure if any Windows Server 2012 updates did this or the RDP 8 "update" for Windows 7/2008 R2).

If I connect to the Windows 8 VM (with RemoteFx enabled) from the Hyper-V manager, the connection works (no licensing protocol errors)

However, if I remove the RemoteFx from the Windows 8 VM, all RDP 8 clients connect fine.

I've checked all the event logs (noticed no errors) and the Remote Desktop Virtualization Host Agent is running. I've checked the RD Licensing Diagnoser and no errors reported.