EA cannot get checkout lock from TFS

[mrblack12]

I just setup version control in EA using TFS as provider. I've placed all packages under version control, which shows in the Project Browser by the small key in front of each package.

When I try to checkout a package, however, I get the message: "The item cannot be locked for checkout in the workspace. Checkout locks are not supported in local workspaces."

However when I look in TFS under Team/Team Project Collection Settings/Source Control/tab Workspace settings the workspace I've setup is most definitely server-based, not local....

Anyone knows how to solve this?

Rick