We have two vCenter servers that are in linked mode. After upgrading to Vsphere 5 I have been having problems deploying machines. I get this error:
Strange right… Well, I then decided to do a vStorage migration of a machine and got the same error:
Turns out that this is a bug with no fix right now when you link two vcenter servers together. To get around this, make sure that your VIC client is logging into the vCenter server that you are going to do the vStorage migration or deplate deployment from. If I have vCenter Server A and B and I want to deploy from a template on B; you would log into the B vCenter to deploy.
Here is the KB article http://kb.vmware.com/selfservice/microsites/search.do?language=en_US&cmd=displayKC&externalId=2013516