Thanks much Paul
I've enabled LU so I can now run it from the cmd, although it still fails with "The SepLiveUpdate session encountered an error: failure run full interactive SepLiveUpdate, the error code is: a100000f"
According to our fw guru, it is being blocked because it is trying to go out directly thru the firewall, which is not allowed. I'm not sure why this would be since we have no issues with SEP11 clients when running LU.
I see there are now proxy settings to configure on the General tab under Client Management Settings. Should I configure these?