I have been reading up on this, it is a very generic error. Our users tell us it is random. We have attempted to change the server name to the IP address. This does make the error disappear but I suspect there is still something causing the connection to lock. We are running 2005. Other articles I read point to connection pooling. We do have connection pooling on for the sql server driver and sql server native client but nothing else. We do allow users to make connections to the database from excel. Should we enable connection pooling on the excel as well?
Also when this error happens, I cannot find anywhere in the event logs which indicates this error happened, does this error get tracked anywhere besides runing an ODBC trace?