Yes, that is correct: DHCP needs to be enabled so that the client can receive an IP.
There should have been a message on the client indicating an issue with the configuration; the client-side logs do show that this would have been the problem.
Thank you for confiming you have resolved the issue.
Yes, you are correct. The VPN client, Network Connect, receives an IP from the IVE using DHCP (regardless of how the IPs are set on the SA unit, the client gets IP using DHCP). If the client PC can't process/handle that DHCP component, for example if DHCP client service is disabled, an IP can't be assigned and Network Connect will error out.
Please let me make this inquiry what does the log messages below refer too:
ID= ERR24670 Network Connect: ACL count = 0
client keeps complaining of loosing connection when accessing local resources via SSL.