Looking at the SMSTS.log file I see this line
Failed to find CCM_SoftwareDistribution object for AdvertID="XXXXXX", PackageID="YYYYYYY", ProgramID="*"
This link identified the correct issue but failed to resolve the problem
http://managedux.com/2011/06/17/failed-to-resolve-selected-task-sequence-dependencies-code0x80040104-or-failed-to-find-ccm_softwaredistribution-object-for-an-osd-driver-package-that-is-on-a-distribution-point/
To solve the problem I deleted the driver package and recreate a new driver package. This then allowed the task sequence to work.
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It worked! Thanks Joe Joe, you saved my life! :-P
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