If you also have NAT installed on the same server that hosts the DNS server, you will get these errors. NAT has a DNS Proxy setting that enables DHCP clients to direct DNS queries to the NAT server. The client DNS queries are then forwarded to the NAT server’s configured DNS server. The DNS Proxy and the DNS Server service cannot coexist on the same host, if the host is using the same interface and IP address with the default settings.
To workaround this issue, use one of the following three methods:
Events 407 and 408 Are Reported in the DNS Server Event Log – 279678
Windows 2000 DNS Event Messages 1 Through 1614 – 259302