One of the big things for the communication with the SCE server to work is GPOs. So I looked at the GPOs applied to this computer by running the gpresult /r on the computer(NOTE to see the computer GPOs you will need to be running the command prompt or app as administrator). Below is the result:
From dealing with SCE problems before I knew their was an additional GPO that needed to be applied. Called "SCE Managed Computers" and it wasn't being applied. After looking at the GPO I realized that it required the computer to be a member of the "SCE Managed Computers" group. After looking at the group membership for the computer I did see it was not a member. I added it to the group.
At this point you could wait a while and eventually you would see if the problem was resolved. I wanted immediate results.
- Run "GPUPDATE /force" as administrator from a command prompt.
- Restart the computer
- Run "wuauclt /detectnow" from a command prompt as administrator
Another thing to check if you have the same error is to make sure the computer is getting a GPO that is pointing it to the WSUS on your SCE Server. If it is not than that is another problem to resolve.