On the VM with the Quiesce snapshot issue logon and open a command prompt with elevated privilages. Enter the folowing commands:
- vssadmin list providers
- if anything other than 'Microsoft Software Shadow Copy provider' is listed this may be interfering with the VMware Tools VSS call. Remove the non Microsoft provider and reinstall VMware Tools. Then try job again.
- vssadmin list writers
- all listed writers should show a State:  Stable and Last error: No Error. If any writer lists a state other than 1 or a Last error other than No error you will need to resolve the issue with that VSS Writer. This may require a reboot.