Terminal server has exceeded maximum number of allowed connection

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First, if your two primary connections to the server are locked out, you can still access the server console from your command line with the following command:

• 
  
• mstsc -v:0.0.0.0 /f -console
  

mstsc -v:0.0.0.0 /f -console　　(Of course you would replace 0.0.0.0 with the correct IP address of the server) This will essentially give you a third remote connection to the server. You should probably only use this connection to jump in and kick off existing connections. If bad habits got you into the problem in the first place, the last thing you need is for your contingency connection to be locked as well. You can delete existing connections by going to Start > Control Panel > Administrative Tools > Terminal Services Manager. Once that window opens, expand the This Computer node in the left-hand panel. The next node should be an entry for your server. Click on your server name and notice that the panel on the right-hand side has tabs for Users, Sessions, and Processes. Click on the Users tab and you should see all existing connections. Some of the icons for the connections may be greyed-out to indicate that the session has expired. These are the sessions that are taking up connections unnecessarily. Right-click on the user/session that is no longer needed and select “Log Off” from the bottom of the list. This kills that user/session and frees up the connection. The other options (like Disconect) don’t actually free up the connection.
The second bit of interesting information from the thread was you can configure the settings on terminal server to manage the connections in a variety of ways. You do that through Start > Control Panel > Administrative Tools > Terminal Services Configuration. Select the Connections folder from the left panel. In the right panel you should see the available connection types. Most likely there will be an entry for RDP-Tcp (Microsoft RDP 5.2). Right-click on that entry and select Properties. Select the Sessions tab and you will see a number of options>Override user settings‘ option and set ‘End a disconnected session’ and ‘Idle session limit’ to 15 minutes. I left the ‘Active session limit’ at Never since as long as you are actively using the connection, then I don’t really care how long you’ve been on.I know these settings apply to Windows Server 2003 Standard Edition. They may or may not apply to other versions. I hope the details in this article help someone out!