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"Email can't be received because the license is invalid for the mailbox" error when selecting Test & Enable Mailbox

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This article provides a resolution for an error that occurs when you test mailbox configuration in Microsoft Dynamics 365.

Applies to:   Microsoft Dynamics 365
Original KB number:   4459027

Symptoms

After you select Test & Enable Mailbox to test a mailbox, the Incoming Email Status shows Failure, and an alert is logged with the following details:

Email can't be received because the license is invalid for the mailbox <Mailbox Name>.
Email Server Error Code: ErrorInvalidLicense

Cause

This error can occur if you try to connect to an Exchange Online user mailbox that doesn't have an Exchange Online license assigned.

Resolution

To solve this issue, assign an Exchange Online license to the user mailbox.

Note

If the purpose of the mailbox is to function as a queue rather than for individual use, it's recommended to use a shared mailbox in Exchange. Shared mailboxes don't require an Exchange Online license. To check if a mailbox is shared, open the Exchange admin center, select Recipients, and then select Shared. If the mailbox appears in this list, it's a shared mailbox. If it's a regular mailbox, you'll see an option to convert it to a shared mailbox.

More information

If you select Details in the alert, you see details similar to the following:

ActivityId: <GUID>
>Error : <ResponseMessageType xmlns:q1="https://schemas.microsoft.com/exchange/services/2006/messages" p2:type="q1:FindItemResponseMessageType" ResponseClass="Error" xmlns:p2="https://www.w3.org/2001/XMLSchema-instance"><q1:MessageText>An internal server error occurred. The operation failed., Mailbox '<Mailbox ID>' doesn't have a valid license.</q1:MessageText><q1:ResponseCode>ErrorInternalServerError</q1:ResponseCode><q1:DescriptiveLinkKey>0</q1:DescriptiveLinkKey><q1:MessageXml><t:Value Name="InnerErrorMessageText" xmlns:t="https://schemas.microsoft.com/exchange/services/2006/types">The license is invalid for this mailbox.</t:Value><t:Value Name="InnerErrorResponseCode" xmlns:t="https://schemas.microsoft.com/exchange/services/2006/types">ErrorInvalidLicense</t:Value><t:Value Name="InnerErrorDescriptiveLinkKey" xmlns:t="https://schemas.microsoft.com/exchange/services/2006/types">0</t:Value></q1:MessageXml></ResponseMessageType>