Try this fix suggestion from the Windows Answers website:
You may try the steps mentioned below.
Reset Windows Update Components.
Click the Fix Me for the reset to happen immediately.
You may also try these steps below.
Open the Windows Update troubleshooter
If your computer is having problems finding and installing operating system updates, try using the Windows Update troubleshooter to fix the problem. It makes sure that your computer is connected to the Internet, and checks to see whether your network adapter and Windows Update services are running correctly.
Note
To make sure you have the most up-to-date troubleshooters from the Windows Online Troubleshooting Service, your computer should be connected to the Internet. For more information, see Troubleshooting in Windows.
Open the
Windows Update troubleshooter by clicking the
Start button, and then clicking
Control Panel. In the search box, type troubleshooter, and then click
Troubleshooting. Under
System and Security, click
Fix problems with Windows Update. If you're prompted for an administrator password or confirmation, type the password or provide confirmation.
Refer the following link for more information:
Open the Windows Update troubleshooter
http://windows.microsoft.com/en-US/windows7/Open-the-Windows-Update-troubleshooter
Follow the steps mentioned in this link later to install the updates:
Install Windows updates
http://windows.microsoft.com/en-us/windows7/Install-Windows-updates