Big thanks to Alan who helped me out on this question, here is the reply i got from him.
Please try downloading the TimeFactor update file from your browser using this link:
Attach TimeFactor to your computer via USB. Power up TimeFactor while holding the middle footswitch. Launch the Eventide Update Utility.
Then, select the 209032_V2.0.2b4 downloaded file from the Eventide Update Utility using the ?Update from File? selection under the File Menu.
Let me know if you can update this way.