Build and capture task sequence stops after apply windows updates

Question

Hi
SCCM 2012 SP1 CU4. Deploying Windows 7 SP1.
Pulling my hair out over this one. I successfully performed a build and capture installing some applications. When I choose to install Windows updates, the updates install, the system reboots then doesn't continue. Applications don't install, image isn't captured.
I've tired using the default B&C TS and receive the same results. I've amended the TS to as follows, as suggested in a technet forum post: https://social.technet.microsoft.com/Forums/en-US/a535e509-fc6a-483c-bf24-7e2aa064e5b7/deploying-100-of-available-software-updates-during-a-task-sequence?forum=configmanagerosd
Looking at smsts.log there's errors relating to not accepting the license agreement, but I didn't think this would stop the TS. 
Can someone point out why the deployment stops?
https://dl.dropboxusercontent.com/u/23479177/smsts-20141113-182413.log 
Cheers

Answer 1

This is very common scenario you´re having! :)
For OSD and for Capture I always create myown Software Update Group, which lets me totally control, what updates goes to the image and which doesn´t. I then edit membership of update and tag or un-tag update to the group.
I suggest you do the following:
1. Create manual Computer record and add it to OSD Capture collection.
2. Create SUG for OSD Capture and un-tag updates which are listed in KB2894518. But that might not be enough.
3. Deploy TS to the OSD Capture collection.
4. Create/modify virtual machine with MAC matching the computer record.
5. Run PXE and hook Capture TS.