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Possible Cause:
This known issue occurs when the Microsoft 982167 or 982168 updates are installed, causing the Windows Communication Foundation (WCF) feature layer to be more recent than the underlying .NET Framework. The error occurs when the WCF calls a new function that is not supported by .NET. The error may appear as "Could not load type 'System.Security.Authentication.ExtendedProtection.ExtendedProtectionPolicy'".

Solution:
Download and install the appropriate hot fix for the operating system at http://archive.msdn.microsoft.com/KB975954. Then, run the following command line from an elevated prompt: "msiexec /f {C09FB3CD-3D0C-3F2D-899A-6A1D67F2073F}".