I am having the same issue Running test list failed internally due to unhandled error! when running tests remotely..Here is what is says in the execution machine log
[08/01 09:55:30,Telerik.TestStudio.ExecutionManagerService.exe(4616:54)] First trace message from pool unnamed thread (managed ID = 54, native ID = 10212).
[08/01 09:55:30,Telerik.TestStudio.ExecutionManagerService.exe(4616:54),Execution] JobBroker.ScheduleJobAsync() : Job satisfied all preconditions, id = 26ff4211-75fc-46c0-a178-9abd903f7f3c
[08/01 09:57:00,Telerik.TestStudio.ExecutionManagerService.exe(4616:57)] First trace message from pool unnamed thread (managed ID = 57, native ID = 18832).
[08/01 09:57:00,Telerik.TestStudio.ExecutionManagerService.exe(4616:57),Execution] JobRunner.RunJobAsync() : Unable to load test list, aborting run.
[08/01 09:57:00,Telerik.TestStudio.ExecutionManagerService.exe(4616:57),Execution] JobRunner.RunJobAsync() : Use source control server: NO
[08/01 09:57:00,Telerik.TestStudio.ExecutionManagerService.exe(4616:57),Execution] JobRunner.RunJobAsync() : Project source location: C:\Paylocity\WebLink\TelerikTestSuite\WebLink UI regression\Weblink automation
[08/01 09:57:00,Telerik.TestStudio.ExecutionManagerService.exe(4616:57),Execution] JobRunner.RunJobAsync() : Check if test list is available at project location. Consider cleaning Job storage!
[08/01 09:57:00,Telerik.TestStudio.ExecutionManagerService.exe(4616:57),Execution] JobRunner.RunJobAsync() : Job storage location: C:\Windows\system32\config\systemprofile\AppData\Roaming\Telerik\TestStudio\Scheduler\ScheduleStorage
[08/01 09:57:00,Telerik.TestStudio.ExecutionManagerService.exe(4616:57),Execution] JobsController.CreateNewJob() : Unable to create a new job.
I did make sure the ports are open and also the TFS source control is installed and configured