We're wondering if it's possible the lack of a DNS server is causing the problem you see. This pertains to a change made between NI VeriStand 2009 and 2010.
Are you using the name of the target or the IP address (xxx.xxx.xxx.xxx)?
I just ran into this and solved the problem. I don't know why, but if you run into this you can fix it by static'ing the target and setting the DNS and Gateway to 0.0.0.0