Error code 5012 for HP 6500 E709n

I have an HP Officejet 6500 E709n connected wirelessly to a Trendnet wireless router using a dynamic IP (all computers connect to the router dynamicaly using the newest driver hplip 3.9.8. in Ubuntu 9.04.
It keeps getting a communication error 5012 when I open HP manager. Sometimes it will connect after a reboot of the computer, router and printer and will print a test page, but close HP Manager and the printer loses connection.
When I first installed the printer using CUPS it printed ok, but I admit I was determined to be able to use all functions using the HP gui, and that's when it stopped working.
I have searched extensively on Google and several forums and have found that it is a known issue but doesn't seem to have a definitive answer.

This computer is a dual boot of jaunty and XP SP3, connected to the router via ethernet. We have two other computers connected to the router, a wireless laptop (Vista) and a desktop rj45 (XP SP3) and of course all print fine in windows.
(as an aside, while in windows, I do notice alot of communication going back and forth continually from and too the printer. However, in linux only a brief amount of communication, until the error message, and then it stops).

info is below

colin@colin-desktop:~$ hp-info

HP Linux Imaging and Printing System (ver. 3.9.8)
Device Information Utility ver. 5.2

Copyright (c) 2001-9 Hewlett-Packard Development Company, LP
This software comes with ABSOLUTELY NO WARRANTY.
This is free software, and you are welcome to distribute it
under certain conditions. See COPYING file for more details.

Using device: hp:/net/Officejet_6500_E709n?zc=HPD323A9

error: Unable to communicate with device (code=12): hp:/net/Officejet_6500_E709n?zc=HPD323A9
error: Unable to open device hp:/net/Officejet_6500_E709n?zc=HPD323A9.

Done.

colin@colin-desktop:~$ hp-check

HP Linux Imaging and Printing System (ver. 3.9.8)
Dependency/Version Check Utility ver. 14.3

Copyright (c) 2001-9 Hewlett-Packard Development Company, LP
This software comes with ABSOLUTELY NO WARRANTY.
This is free software, and you are welcome to distribute it
under certain conditions. See COPYING file for more details.

Note: hp-check can be run in three modes:
1. Compile-time check mode (-c or --compile): Use this mode before compiling the
HPLIP supplied tarball (.tar.gz or .run) to determine if the proper dependencies
are installed to successfully compile HPLIP.
2. Run-time check mode (-r or --run): Use this mode to determine if a distro
supplied package (.deb, .rpm, etc) or an already built HPLIP supplied tarball
has the proper dependencies installed to successfully run.
3. Both compile- and run-time check mode (-b or --both) (Default): This mode
will check both of the above cases (both compile- and run-time dependencies).

Saving output in log file: hp-check.log

Initializing. Please wait...

---------------
| SYSTEM INFO |
---------------

Basic system information:
Linux colin-desktop 2.6.28-15-generic #49-Ubuntu SMP Tue Aug 18 18:40:08 UTC 2009 i686 GNU/Linux

Distribution:
ubuntu 9.04

Checking Python version...
OK, version 2.6.2 installed

Checking PyQt 4.x version...
OK, version 4.4.4 installed.

Checking for CUPS...
Status: scheduler is running
Version: 1.3.9
error_log is set to level: info

Checking for dbus/python-dbus...
dbus daemon is running.
python-dbus version: 0.83.0

------------------------------------
| COMPILE AND RUNTIME DEPENDENCIES |
------------------------------------

note: To check for compile-time only dependencies, re-run hp-check with the -c parameter (ie, hp-check -c).
note: To check for run-time only dependencies, re-run hp-check with the -r parameter (ie, hp-check -r).

Checking for dependency: CUPS - Common Unix Printing System...
OK, found.

Checking for dependency: CUPS DDK - CUPS driver development kit...
OK, found.

Checking for dependency: CUPS devel- Common Unix Printing System development files...
OK, found.

Checking for dependency: CUPS image - CUPS image development files...
OK, found.

Checking for dependency: DBus - Message bus system...
OK, found.

Checking for dependency: gcc - GNU Project C and C++ Compiler...
OK, found.

Checking for dependency: GhostScript - PostScript and PDF language interpreter and previewer...
OK, found.

Checking for dependency: libcrypto - OpenSSL cryptographic library...
OK, found.

Checking for dependency: libjpeg - JPEG library...
OK, found.

Checking for dependency: libnetsnmp-devel - SNMP networking library development files...
OK, found.

Checking for dependency: libpthread - POSIX threads library...
OK, found.

Checking for dependency: libtool - Library building support services...
OK, found.

Checking for dependency: libusb - USB library...
OK, found.

Checking for dependency: make - GNU make utility to maintain groups of programs...
OK, found.

Checking for dependency: PIL - Python Imaging Library (required for commandline scanning with hp-scan)...
OK, found.

Checking for dependency: PolicyKit - Administrative policy framework...
OK, found.

Checking for dependency: PyQt 4 DBus - DBus Support for PyQt4...
OK, found.

Checking for dependency: Python DBus - Python bindings for DBus...
OK, found.

Checking for dependency: Python devel - Python development files...
OK, found.

Checking for dependency: Python libnotify - Python bindings for the libnotify Desktop notifications...
OK, found.

Checking for dependency: Python XML libraries...
OK, found.

Checking for dependency: Python 2.3 or greater - Required for fax functionality...
OK, found.

Checking for dependency: Python 2.2 or greater - Python programming language...
OK, found.

Checking for dependency: Reportlab - PDF library for Python...
OK, found.

Checking for dependency: SANE - Scanning library...
OK, found.

Checking for dependency: SANE - Scanning library development files...
OK, found.

Checking for dependency: scanimage - Shell scanning program...
OK, found.

Checking for dependency: xsane - Graphical scanner frontend for SANE...
OK, found.

----------------------
| HPLIP INSTALLATION |
----------------------

Currently installed HPLIP version...
HPLIP 3.9.8 currently installed in '/usr/share/hplip'.

Current contents of '/etc/hp/hplip.conf' file:
# hplip.conf. Generated from hplip.conf.in by configure.

[hplip]
version=3.9.8

[dirs]
home=/usr/share/hplip
run=/var/run
ppd=/usr/share/ppd/HP
ppdbase=/usr/share/ppd
doc=/usr/share/doc/hplip-3.9.8
icon=/usr/share/applications
cupsbackend=/usr/lib/cups/backend
cupsfilter=/usr/lib/cups/filter
drv=/usr/share/cups/drv/hp

# Following values are determined at configure time and cannot be changed.
[configure]
network-build=yes
pp-build=no
gui-build=yes
scanner-build=yes
fax-build=yes
dbus-build=yes
cups11-build=no
doc-build=yes
shadow-build=no
hpijs-install=no
foomatic-drv-install=no
foomatic-ppd-install=no
foomatic-rip-hplip-install=no
hpcups-install=yes
cups-drv-install=yes
cups-ppd-install=no
internal-tag=3.9.8.36
restricted-build=no
ui-toolkit=qt4
qt3=no
qt4=yes
policy-kit=yes
hpijs-only-build=no
lite-build=no
udev-acl-rules=no

Current contents of '/var/lib/hp/hplip.state' file:
# hplip.state - HPLIP runtime persistent variables.

[plugin]
installed=0
eula=0

Current contents of '~/.hplip/hplip.conf' file:
[last_used]
printer_name =
printer =
working_dir = .
device_uri = "hp:/net/Officejet_6500_E709n?zc=HPD323A9"

[commands]
scan = /usr/bin/xsane -V %SANE_URI%

[installation]
version = 3.9.8.36
date_time = 09-08-24 19:29:43

[settings]
systray_messages = 0
systray_visible = 1

[fax]
email_address =
voice_phone =

[refresh]
rate = 30
enable = true
type = 2

[polling]
enable = false
device_list =
interval = 5

--------------------------
| DISCOVERED USB DEVICES |
--------------------------

No devices found.

---------------------------------
| INSTALLED CUPS PRINTER QUEUES |
---------------------------------

Officejet_6500_E709n
--------------------
Type: Printer
Device URI: hp:/net/Officejet_6500_E709n?zc=HPD323A9
PPD: /etc/cups/ppd/Officejet_6500_E709n.ppd
PPD Description: HP Officejet 6500 e709n, hpcups 3.9.8
Printer status: printer Officejet_6500_E709n is idle. enabled since Sun 16 Aug 2009 05:46:05 PM EDT
error: Unable to communicate with device (code=12): hp:/net/Officejet_6500_E709n?zc=HPD323A9
error: unable to open channel
error: Communication status: Failed

Officejet_6500_E709n_fax
------------------------
Type: Fax
Device URI: hpfax:/net/Officejet_6500_E709n?zc=HPD323A9
PPD: /etc/cups/ppd/Officejet_6500_E709n_fax.ppd
PPD Description: HP Fax hpcups
Printer status: printer Officejet_6500_E709n_fax is idle. enabled since Sun 16 Aug 2009 05:46:05 PM EDT
error: Unable to communicate with device (code=12): hpfax:/net/Officejet_6500_E709n?zc=HPD323A9
error: unable to open channel
error: Communication status: Failed

----------------------
| SANE CONFIGURATION |
----------------------

'hpaio' in '/etc/sane.d/dll.conf'...
OK, found. SANE backend 'hpaio' is properly set up.

Checking output of 'scanimage -L'...
device `hpaio:/net/Officejet_6500_E709n?zc=HPD323A9' is a Hewlett-Packard Officejet_6500_E709n all-in-one

---------------------
| PYTHON EXTENSIONS |
---------------------

Checking 'cupsext' CUPS extension...
OK, found.

Checking 'pcardext' Photocard extension...
OK, found.

Checking 'hpmudext' I/O extension...
OK, found.

Checking 'scanext' SANE scanning extension...
OK, found.

---------------
| USER GROUPS |
---------------

colin adm dialout cdrom dip plugdev lpadmin admin sambashare

-----------
| SUMMARY |
-----------

error: 2 errors and/or warnings.

Please refer to the installation instructions at:
http://hplip.sourceforge.net/install/index.html

Done.
colin@colin-desktop:~$

colin@colin-desktop:~$ hp-makeuri 192.168.1.106

HP Linux Imaging and Printing System (ver. 3.9.8)
Device URI Creation Utility ver. 5.0

Copyright (c) 2001-9 Hewlett-Packard Development Company, LP
This software comes with ABSOLUTELY NO WARRANTY.
This is free software, and you are welcome to distribute it
under certain conditions. See COPYING file for more details.

CUPS URI: hp:/net/Officejet_6500_E709n?ip=192.168.1.106
SANE URI: hpaio:/net/Officejet_6500_E709n?ip=192.168.1.106
HP Fax URI: hpfax:/net/Officejet_6500_E709n?ip=192.168.1.106

Done.
colin@colin-desktop:~$