Cloud save possible issue...

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I was playing Defense Grid and my progress is saved to the cloud. After completing a level I get a message that says something along the lines that I earned an achievement but it couldn't reward me because my storage device is full or I am disconnected from Live. I wasn't disconnected and I am using the cloud storage option with plenty of free space. Any ideas of what could be the issue?
 
Ok, it says "ERROR....Failed to award one or more achievements. You have been disconnected from XBOX Live or your storage device is full or unavailable. Please check your network connections and/or storage device".
 
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