Assuming you have XP SP2, you may want to install the update of XP sp2. this page may help,

Troubleshooting terminal server issues
You are already connected to the console of this console of this computer. A new console session cannot be established
http://www.chicagotech.net/remoteissues/rdc1.htm


Bob Lin, MS-MVP, MCSE & CNE
Networking, Internet, Routing, VPN Troubleshooting on http://www.ChicagoTech.net
How to Setup Windows, Network, VPN & Remote Access on http://www.HowToNetworking.com
"woody6t9" <woody6t9@discussions.microsoft.com> wrote in message news:79674260-6558-470C-BEE3-87CF7286CB76@microsoft.com...
I regularly connect to my desktop system from my laptop via RD. However,
since a recent electrical blackout I've been unable to connect; immediately
after hitting the "connect" button i received the following error:

"The client could not connect. You are already connected to the console of
this computer. A new console session cannot be established."

I've shut down and restarted both machines, hoping to clear any cached
session information, but no such luck. Any suggestions?