Windows Home Server got a small update with the February 2009 update. After installing the update on my Windows Home Server and rebooting the WHS I had to update the connector software on my desktop (I don’t have it set to automatic). The update was also announced on the Windows Home Server Team Blog.
The technote mentions that a problem with restores is fixed although I recall seeing backup fixes in the January update. I had the restore problem previously and saw it mentioned in an update, although it wasn’t fixed. I did a test restore from my first backup (so pre-patch) and it worked fine.