[BUG] Rancher 2.7 gives error `Error: Setting cluster V2 legacy data: Malformed version` after provisioning cluster

Rancher Server Setup

Rancher version: v2.7.16-alpha5
Installation option (Docker install/Helm Chart): Helm
- If Helm Chart, Kubernetes Cluster and version (RKE1, RKE2, k3s, EKS, etc): RKE2
Proxy/Cert Details:

Information about the Cluster

Kubernetes version: v1.26.15+k3s1

Cluster Type (Local/Downstream): Downstream

If downstream, what type of cluster? (Custom/Imported or specify provider for Hosted/Infrastructure Provider): Linode

When performing release testing with v2.7.16-alpha5, QA automation picked up the following issue after a cluster finishes provisioning:

Error:          Received unexpected error:
                            FatalError{Underlying: error while running command: exit status 1; 
                            Error: Setting cluster V2 legacy data: Malformed version: 

                              with rancher2_cluster_v2.rancher2_cluster_v2,
                              on main.tf line 45, in resource "rancher2_cluster_v2" "rancher2_cluster_v2":
                              45: resource "rancher2_cluster_v2" "rancher2_cluster_v2" {
                            }

Utilizing the same main.tf, 2.8 and 2.9 are working as expected, using Rancher2 4.x.x and 5.x.x, respectively. Here is the main.tf:

terraform {
  required_providers {
    rancher2 = {
      source  = "rancher/rancher2"
      version = "3.0.0"
    }
  }
}

provider "rancher2" {
  api_url   = "https://..."
  token_key = "<removed>"
  insecure  = true
}

resource "rancher2_user" "rancher2_user" {
  name     = "auto-testuser-ofcvi"
  username = "auto-testuser-ofcvi"
  password = "<removed>"
  enabled  = true
}

resource "rancher2_global_role_binding" "rancher2_global_role_binding" {
  name           = "auto-testuser-ofcvi"
  global_role_id = "user"
  user_id        = rancher2_user.rancher2_user.id
}

resource "rancher2_cloud_credential" "rancher2_cloud_credential" {
  name = "mew-tf-creds"
  linode_credential_config {
    token = "<removed>"
  }
}

resource "rancher2_machine_config_v2" "rancher2_machine_config_v2" {
  generate_name = "mew-tf"
  linode_config {
    image     = "linode/ubuntu22.04"
    region    = "us-east"
    root_pass = "<removed>"
  }
}

resource "rancher2_cluster_v2" "rancher2_cluster_v2" {
  name                                     = "auto-tfp-snljv"
  kubernetes_version                       = "v1.27.16+k3s1"
  enable_network_policy                    = false
  default_cluster_role_for_project_members = "true"
  rke_config {
    machine_pools {
      name                         = "auto-tfp-ieqzk0"
      cloud_credential_secret_name = rancher2_cloud_credential.rancher2_cloud_credential.id
      control_plane_role           = false
      etcd_role                    = true
      worker_role                  = false
      quantity                     = 1
      machine_config {
        kind = rancher2_machine_config_v2.rancher2_machine_config_v2.kind
        name = rancher2_machine_config_v2.rancher2_machine_config_v2.name
      }
    }
    machine_pools {
      name                         = "auto-tfp-ieqzk1"
      cloud_credential_secret_name = rancher2_cloud_credential.rancher2_cloud_credential.id
      control_plane_role           = true
      etcd_role                    = false
      worker_role                  = false
      quantity                     = 1
      machine_config {
        kind = rancher2_machine_config_v2.rancher2_machine_config_v2.kind
        name = rancher2_machine_config_v2.rancher2_machine_config_v2.name
      }
    }
    machine_pools {
      name                         = "auto-tfp-ieqzk2"
      cloud_credential_secret_name = rancher2_cloud_credential.rancher2_cloud_credential.id
      control_plane_role           = false
      etcd_role                    = false
      worker_role                  = true
      quantity                     = 1
      machine_config {
        kind = rancher2_machine_config_v2.rancher2_machine_config_v2.kind
        name = rancher2_machine_config_v2.rancher2_machine_config_v2.name
      }
    }
    upgrade_strategy {
      control_plane_concurrency = "10%"
      worker_concurrency        = "10%"
    }
  }
}

To Reproduce

Setup Rancher v2.7.16-alpha5.
Provision a downstream K3s cluster (RKE1 or RKE2 yields the same result).
Note that you receive error Setting cluster V2 legacy data: Malformed version after cluster is provisioned.

Actual Result

Cluster should provision without any issue.

Expected Result

Cluster returns an error after provisioning is done.

rancher / terraform-provider-rancher2