I think something might be wrong or missing with your SQL Server client on the monarch server.
I did read something in some of the recent Monarch Server release notes that there was an issue with SQL installation scripts, it could be related.
I would contact Monarch support for assistance to ensure you have a good build of the installer and get help with your installation or upgrade.
These links might help also-
documentation on installing sql server native client
installer download link for sql server native client