There are no problems with the PW client and any version of Windows as far as I know, but time-outs have got nothing to do with the client, only TA not being able to connect due to blocked ports somewhere. You should time out if you use TA's multiplayer function without going through the client. Though it won't give you the error message, the same happens.
I trust you tried to join several different games when testing this? Keep in mind that it might be the other person's ports, not yours.
And for the record, it's phoenixworx.org, but I'm sure that's what you meant. ;)