I have one user who continues to receive this error every time he try's to RDP to this server Windows Server (2008) Enterprise SP2. No other users receive this error when they RDP to the server.
I used this workaround...
Windows Server 2008 (SP1 or SP2)
1. Logon to the Terminal Services computer as an administrator
2. Start--Run gpedit.msc, click Continue if prompted by UAC
3. In the left pane, under Computer Configuration, navigate to following:
Administrative Templates\Windows Components\Terminal Services\Terminal Server\Remote Session Environment
4. In the right pane, double-click on Set compression algorithm for RDP data
5. Select Enabled, and choose Balances memory and network bandwidth
6. Click OK to save the change
This did not resolve my issue.