HvSocket has already been closed

Expected behavior

After installation I would expect Docker for Windows to be functional.

Actual behavior

After succesful installation, with a launched Hyper-V MobyLinuxVM, attempting to run Docker PS results in

Error response from daemon: Bad response from Docker engine

Information

Windows 10 Build 10586.318
The Hyper-V machine says Heartbeat OK
I can ping docker.local:
Reply from 10.0.75.2: bytes=32 time<1ms TTL=64

The log says:

[11:58:04.291][ProxyProcess ][Info ] proxy >> GET /v1.23/containers/json
[11:58:04.292][ProxyProcess ][Info ] Dial Hyper-V socket b40d2167-a45a-4c7f-8859-0fc4c26a047f:23a432c2-537a-4291-bcb5-d62504644739
[11:58:14.341][ProxyProcess ][Info ] error reading response from Docker: HvSocket has already been closed

OS Version

SystemDirectory : C:\WINDOWS\system32
Organization :
BuildNumber : 10586
RegisteredUser : test
SerialNumber : 00330-80000-00000-AA756
Version : 10.0.10586

The output of DockerDebug is too big to include except snippets:

SystemDirectory : C:\WINDOWS\system32
Organization :
BuildNumber : 10586
RegisteredUser : test
SerialNumber : 00330-80000-00000-AA756
Version : 10.0.10586

Get-NetNAT

Name : DockerNAT
ExternalIPInterfaceAddressPrefix :
InternalIPInterfaceAddressPrefix : 10.0.75.0/24
IcmpQueryTimeout : 30
TcpEstablishedConnectionTimeout : 1800
TcpTransientConnectionTimeout : 120
TcpFilteringBehavior : AddressDependentFiltering
UdpFilteringBehavior : AddressDependentFiltering
UdpIdleSessionTimeout : 120
UdpInboundRefresh : False
Store : Local
Active : True

Get-NetIPAddress

IPAddress : fe80::5efe:192.168.99.1%12
InterfaceIndex : 12
InterfaceAlias : isatap.{643AAF6D-1366-4404-939A-C477028EE0B1}
AddressFamily : IPv6
Type : Unicast
PrefixLength : 128
PrefixOrigin : WellKnown
SuffixOrigin : Link
AddressState : Deprecated
ValidLifetime : Infinite ([TimeSpan]::MaxValue)
PreferredLifetime : Infinite ([TimeSpan]::MaxValue)
SkipAsSource : False
PolicyStore : ActiveStore

IPAddress : fe80::6585:89d9:258d:dd1d%7
InterfaceIndex : 7
InterfaceAlias : VirtualBox Host-Only Network #2
AddressFamily : IPv6
Type : Unicast
PrefixLength : 64
PrefixOrigin : WellKnown
SuffixOrigin : Link
AddressState : Preferred
ValidLifetime : Infinite ([TimeSpan]::MaxValue)
PreferredLifetime : Infinite ([TimeSpan]::MaxValue)
SkipAsSource : False
PolicyStore : ActiveStore

IPAddress : fe80::5efe:192.168.205.1%11
InterfaceIndex : 11
InterfaceAlias : isatap.{52D5829D-0F9D-4891-9BE9-D4C70DD84F80}
AddressFamily : IPv6
Type : Unicast
PrefixLength : 128
PrefixOrigin : WellKnown
SuffixOrigin : Link
AddressState : Deprecated
ValidLifetime : Infinite ([TimeSpan]::MaxValue)
PreferredLifetime : Infinite ([TimeSpan]::MaxValue)
SkipAsSource : False
PolicyStore : ActiveStore

IPAddress : fe80::ec2a:70c5:4430:3b50%6
InterfaceIndex : 6
InterfaceAlias : VirtualBox Host-Only Network
AddressFamily : IPv6
Type : Unicast
PrefixLength : 64
PrefixOrigin : WellKnown
SuffixOrigin : Link
AddressState : Preferred
ValidLifetime : Infinite ([TimeSpan]::MaxValue)
PreferredLifetime : Infinite ([TimeSpan]::MaxValue)
SkipAsSource : False
PolicyStore : ActiveStore

IPAddress : ::1
InterfaceIndex : 1
InterfaceAlias : Loopback Pseudo-Interface 1
AddressFamily : IPv6
Type : Unicast
PrefixLength : 128
PrefixOrigin : WellKnown
SuffixOrigin : WellKnown
AddressState : Preferred
ValidLifetime : Infinite ([TimeSpan]::MaxValue)
PreferredLifetime : Infinite ([TimeSpan]::MaxValue)
SkipAsSource : False
PolicyStore : ActiveStore

IPAddress : fe80::5efe:10.0.75.1%13
InterfaceIndex : 13
InterfaceAlias : isatap.{47C94888-BE21-492D-80A0-B666E71AC963}
AddressFamily : IPv6
Type : Unicast
PrefixLength : 128
PrefixOrigin : WellKnown
SuffixOrigin : Link
AddressState : Deprecated
ValidLifetime : Infinite ([TimeSpan]::MaxValue)
PreferredLifetime : Infinite ([TimeSpan]::MaxValue)
SkipAsSource : False
PolicyStore : ActiveStore

IPAddress : fe80::6031:1b92:685f:740e%5
InterfaceIndex : 5
InterfaceAlias : vEthernet (DockerNAT)
AddressFamily : IPv6
Type : Unicast
PrefixLength : 64
PrefixOrigin : WellKnown
SuffixOrigin : Link
AddressState : Preferred
ValidLifetime : Infinite ([TimeSpan]::MaxValue)
PreferredLifetime : Infinite ([TimeSpan]::MaxValue)
SkipAsSource : False
PolicyStore : ActiveStore

IPAddress : fe80::5efe:192.168.13.176%10
InterfaceIndex : 10
InterfaceAlias : isatap.domain.local
AddressFamily : IPv6
Type : Unicast
PrefixLength : 128
PrefixOrigin : WellKnown
SuffixOrigin : Link
AddressState : Deprecated
ValidLifetime : Infinite ([TimeSpan]::MaxValue)
PreferredLifetime : Infinite ([TimeSpan]::MaxValue)
SkipAsSource : False
PolicyStore : ActiveStore

IPAddress : 192.168.13.176
InterfaceIndex : 4
InterfaceAlias : Ethernet
AddressFamily : IPv4
Type : Unicast
PrefixLength : 24
PrefixOrigin : Dhcp
SuffixOrigin : Dhcp
AddressState : Preferred
ValidLifetime : 7.22:23:12
PreferredLifetime : 7.22:23:12
SkipAsSource : False
PolicyStore : ActiveStore

IPAddress : 192.168.99.1
InterfaceIndex : 7
InterfaceAlias : VirtualBox Host-Only Network #2
AddressFamily : IPv4
Type : Unicast
PrefixLength : 24
PrefixOrigin : Manual
SuffixOrigin : Manual
AddressState : Preferred
ValidLifetime : Infinite ([TimeSpan]::MaxValue)
PreferredLifetime : Infinite ([TimeSpan]::MaxValue)
SkipAsSource : False
PolicyStore : ActiveStore

IPAddress : 192.168.205.1
InterfaceIndex : 6
InterfaceAlias : VirtualBox Host-Only Network
AddressFamily : IPv4
Type : Unicast
PrefixLength : 24
PrefixOrigin : Manual
SuffixOrigin : Manual
AddressState : Preferred
ValidLifetime : Infinite ([TimeSpan]::MaxValue)
PreferredLifetime : Infinite ([TimeSpan]::MaxValue)
SkipAsSource : False
PolicyStore : ActiveStore

IPAddress : 127.0.0.1
InterfaceIndex : 1
InterfaceAlias : Loopback Pseudo-Interface 1
AddressFamily : IPv4
Type : Unicast
PrefixLength : 8
PrefixOrigin : WellKnown
SuffixOrigin : WellKnown
AddressState : Preferred
ValidLifetime : Infinite ([TimeSpan]::MaxValue)
PreferredLifetime : Infinite ([TimeSpan]::MaxValue)
SkipAsSource : False
PolicyStore : ActiveStore

IPAddress : 10.0.75.1
InterfaceIndex : 5
InterfaceAlias : vEthernet (DockerNAT)
AddressFamily : IPv4
Type : Unicast
PrefixLength : 24
PrefixOrigin : Manual
SuffixOrigin : Manual
AddressState : Preferred
ValidLifetime : Infinite ([TimeSpan]::MaxValue)
PreferredLifetime : Infinite ([TimeSpan]::MaxValue)
SkipAsSource : False
PolicyStore : ActiveStore

Steps to reproduce the behavior

Install docker for windows. Resetting everything makes no difference from the tray menu.