I do not have "Default" parameters set up
This may be your problem. A subscription cannot prompt anyone for parameters - there's no human there to supply them. You need to either provide defaults, or enter values for the subscription.
If I misunderstood, and you do provide parameter values for the subscription, try looking in the SSRS log files - they'll be in ...\Reporting Services\LogFiles\, and may contain a more verbose error to help you determine where the actual problem lies.