For anyone having issues with creating layers with AOS, Check the following links. The Nutanix community thread is locked for comments but the Citrix community contains more info about fixing the issues without the need to un-register the cluster from Prism Central. Basically, if you are running 5.6 or 5.7 AOS, upgrade to 5.8 and the issue is supposed to go away. I have unregistered from Prism Central for now but plan on doing the 5.8 upgrade today. I will report back if that allows me to re-register the cluster with Prism Central and create layers successfully.