Node selenium-webdriver "Error: Timed out waiting for the WebDriver server at"

I was having this exact issue today and near as I can tell it's a bug with the current version of the selenium-webdriver package (2.41.0).

There is a bug filed with the Selenium project but I don't think the fix has made its way onto npm yet.

Downgrading to version 2.9.248307 of Chromedriver worked for me.