Mail Enabled Public Folders Fail to receive email and produce Bounce / NDR after migrating from Exchange 2003 to Exchange 2010

Issue:

None of your mail enabled public folders are accepting mail after migrating from Exchange 2003 to Exchange 2007 or Exchange 2010.  The public folders still show as being mail enabled, and each folders permissions still shows the Anonymous group as at least having “Contributor” rights.

Delivery has failed to these recipients or groups:

PUBFOLDERNAME (PUBFOLDER@contoso.com)
There’s a problem with the recipient’s mailbox. Please try resending the message. If the problem continues, please contact your helpdesk.

Diagnostic information for administrators: Generating server: mailserver.contoso.comPubFolder1@contoso.com#554 5.2.0 STOREDRV.Deliver.Exception:ObjectNotFoundException; Failed to process message due to a permanent exception with message The Active Directory user wasn’t found. ObjectNotFoundException: The Active Directory user wasn’t found. ##

Resolution:

Removing the empty “CN=Servers” container via ADSIedit resolves the issue immediately:
CN=Servers,CN=First Administrative Group,CN=Administrative Groups,CN=First Organization,CN=Microsoft Exchange,CN=Services,CN=Configuration,DC=domain,DC=local

**It’s a good idea to have a full backup of AD prior to using ADSIEDIT.

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