Hello,
802.1x(Identity) indicates that the authentication did not pass the identity phase of the protocol.
Extreme Control will show 802.1x(Identity) if the authentication never passed the "Request Method" part of the authentication protocol where an authentication method (PEAP/TLS) was negotiated.
In this case I would be more worried about the "System Misconfiguration" error as if the AAA does not have an appropriate line to handle the authentication Extreme Control will not continue with processing of the request, which would be the cause of the failure to complete the "method" negotiation of the request.
Usually this is caused by a client falling through all of the rules in the AAA configuration so Control does not know how to process the request.
Thanks
-Ryan