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How do I disable password complexity in Windows Server 2008 with an active directory?

I am trying to remove password complexity in Windows Server 2008. When I go to Local Security Policy/ Account Polices/ Password Policy/ Password must meet password complexity requirements and right click "properties" the enable and disable radio buttons are greyed out.  I think this must be due to the fact I have an active directory.  Any suggestions how to disable password complexity?
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Rob Williams
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I was able to find it under group policy management the the default domain policy then right click to edit and I found it using the rest of your tree. Thanks for your help.
GP management console, as you said, is definitely the better way to go, but not everyone has it installed.
Thanks nielsenfinancial.
Cheers !
--Rob
Disabled from the GPO. But after couple weeks, it still says require complexity password! Checked both Default DC GPO and Default Domain GPO. They are the only two GPOs I have.
Is the 2008 server the domain controller for the network? If a member server it has to be set on the DC. Also is this server 2008 or SBS 2008?
Hi for some strange reason I cannot find domain security policy  I only find local security policy, where can I install that snap in?

thanks