Flexlm TCP_NODELAY Error

A client started Flexlm x64 11.11 on a Windows 2012R2 x64 server. The artwork daemon started working and reported that the licenses are up.
But after a few minutes the service timed out and an error TCP_NODELAY NOT enabled appeared.

10:14:16 (lmgrd) FlexNet Licensing (v11.11.1.0 build 116574 x64_n6) started on stlsreslicsvr01p (IBM PC) (3/19/2015)
10:14:16 (lmgrd) Copyright (c) 1988-2013 Flexera Software LLC. All Rights Reserved.
10:14:16 (lmgrd) World Wide Web:  http://www.flexerasoftware.com
10:14:16 (lmgrd) License file(s): C:\Flexlm\Artworks\artwork.lic
10:14:16 (lmgrd) lmgrd tcp-port 27005
10:14:16 (lmgrd) Starting vendor daemons ... 
10:14:16 (lmgrd) Started artwork (pid 2628)
10:14:16 (artwork) FLEXnet Licensing version v11.4.100.0 build 50818 x64_n6
10:14:16 (artwork) lmgrd version 11.11, artwork version 11.4
10:14:16 (artwork) Server started on stlsreslicsvr01p for:               ACS5I5                  
10:14:16 (artwork) ACS5II                             
10:14:16 (artwork) EXTERNAL FILTERS are OFF
10:14:16 (lmgrd) artwork using TCP-port 50057
10:14:34 (artwork) TCP_NODELAY NOT enabled
10:19:16 (lmgrd) artwork exited with status 58 ()
10:19:16 (lmgrd) Since this is an unknown status, license server 
10:19:16 (lmgrd) manager (lmgrd) will attempt to re-start the vendor daemon.
10:19:16 (lmgrd) EXITING DUE TO SIGNAL 1

We tried to define the port number for both the lmgrd and the daemon in the first two lines of the license file, but that didn't help.
We also defined the fully qualified server name, but that didn't help either.


Client upgraded Flexlm software to version and the problem resolved.

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