Hi Phil,
The VI Setup options for "Show Front Panel when Called" and "Close Afterwards if Originally Closed" will only affect a VI when it is called as a subVI, not as the main VI.
If you load your config UI from the Server Browser, it will load the config UI with VI Server by setting the VI property FP.Open to true. Once you are done with your VI-based Server configuration you should be able to close the configuration VI by setting the FP.Open to FALSE.
I've done a small test and I did not get an error in my case. Perhaps, you see the error from another error "wire" passing into the FP.Open property node? Or, what is the error you got?
Hope this helps
Roland