Receiving JVM error in Octopus when using testrunner.bat

I am trying to execute testrunner.bat through Octopus. 

The PowerShell command is this

& "$ReadyAPIPath\testrunner.bat" -e "http://api.abc.com/login/v1/" -R "JUnit-Style HTML Report" -f "C:\SoapProjects\test - soapui" "C:\SoapProjects\test - soapui\ProfileAPI.xml"

The error I am getting:

del %TEMP%\jfxrtpath
"%JAVA%" -cp "%CLASSPATH%" com.eviware.soapui.tools.XmxCalculator > %TEMP%\readyxmx
The process cannot access the file because it is being used by another process.
java.util.NoSuchElementException: No line found
at java.util.Scanner.nextLine(Unknown Source)
at com.smartbear.ready.license.util.CommandLineUtils.readLine(CommandLineUtils.java:77)
at com.smartbear.ready.license.headless.HeadlessLicenseInstaller.installLicense(HeadlessLicenseInstaller.java:32)
at com.smartbear.ready.license.LicenseManagerServiceImpl.a(LicenseManagerServiceImpl.java:320)
at com.smartbear.ready.license.CombinedSoapUILicenseManagerService.promptForLicenseInHeadlessMode(CombinedSoapUILicenseManagerService.java:203)
at com.smartbear.ready.cmd.runner.pro.SoapUIProTestCaseRunner.runRunner(SoapUIProTestCaseRunner.java:92)
at com.smartbear.ready.cmd.runner.AbstractSoapUIRunner.run(AbstractSoapUIRunner.java:276)
at com.smartbear.ready.cmd.runner.AbstractSoapUIRunner.runFromCommandLine(AbstractSoapUIRunner.java:175)
at com.smartbear.ready.cmd.runner.pro.SoapUIProTestCaseRunner.init(SoapUIProTestCaseRunner.java:83)
at com.smartbear.ready.cmd.runner.pro.SoapUIProTestCaseRunner.main(SoapUIProTestCaseRunner.java:79)

This is a new server and license has been applied. No one is on this system. The only think I can think of is that I logged in as my AD to apply the license and Octopus uses a different account when executing.  I did make sure to shut down ReadyAPI and verfied in task manager before doing my automated POC.