Hi Brian,
Please confirm that you resolved the issue on your own? Based on your last edit, it sounds like there were densified curves in your data and excluding this data from the adjustment solved the problem? If you are still experiencing problems with control points, please note that there is a fix in SP5 that lifts a prior known limit that had required all control points in an adjustment to have unique names. (NIM075375).
Thanks for your post.
-Tim