Hi
Please correct me if I am wrong about the configuration:
1. Single vCenter with vSphere replication
2. Two ESXi hosts where one of them has the source running VM and 2nd host datastore is used as a target for replication. Assuming the target datastore is local to this host and not shared between these two hosts.
3. Two VR servers: One management appliance and the 2nd is a add-on server
Do you mean that this VM is listed under source ESXi host and target ESXi host ? Please share some screenshot for reference that shows the VM listed under both hosts
Ensure the source running VM does not have any ISOs,config files attached from the datastore of 2nd host