My 2012 terminal server license servers are a member of a global security group called TS License Servers. This group is then a member of the builtin Terminal Server License Servers group.
Licenses are NOT being assigned to users and causing the error "The Remote Desktop license server cannot update the license attributes for user "mark foo" in the Active Directory Domain "internal.thecloudguy.info". Ensure that the computer account for the license server is a member of Terminal Server License Servers group in Active Directory domain "internal.thecloudguy.info".
As soon as i make the server a direct member of the group, the error goes away.
I could not find any documentation that suggests nested groups are not supported. Is this a bug? I require this functionality because i need to add license servers dynamically to the Terminal Server License Servers group across multiple trusted forests. License servers will be added to the one group that will already be a member of the builtin group in each domain.