Following a patch/reboot during the week of the Feb 22nd Microsoft release, PasswordState would not answer calls. On the server, browsing locally, we receive the 401 message "you do not have permission to view this directory or page", however client PCs browsers simply spin away without receiving a message at all.
We reinstalled the server under duress. Now, following this week's patch/reboot, experiencing the same problem.
We've bumped NTLM up in the list as advised elsewhere, and only find recommendations to "reinstall server'" as a response to the issue. We've also checke