Problem with forwarding to external contacts with Exchange 2007


I have a bizarre issue where an Exchange 2007 server is unable to forward email to external contacts. I've added mail contacts and added them into the mail flow properties of a mail user, selecting to keep a copy in the users mailbox...

What happens is that I get an NDR with the following information:

Generating Server: server.domain.local #550 Not permitted

I've tested this by sending an email to - I can see by using Outlook Web Access, the receives the test message and then receives an NDR into the same inbox with the above error.

Any ideas please?

Thank you!
Who is Participating?
I wear a lot of hats...

"The solutions and answers provided on Experts Exchange have been extremely helpful to me over the last few years. I wear a lot of hats - Developer, Database Administrator, Help Desk, etc., so I know a lot of things but not a lot about one thing. Experts Exchange gives me answers from people who do know a lot about one thing, in a easy to use platform." -Todd S.

The error seems to point to btconnect not allowing relay for the domain you are sending from.  Is the FROM address for the email on the same domain that is allowed through BT's server?

The NDR just basically points to a relay issue, which you shouldn't really have if the idea is to just create a mail contact and set the mail flow properties to forward the email to them.

Experts Exchange Solution brought to you by

Your issues matter to us.

Facing a tech roadblock? Get the help and guidance you need from experienced professionals who care. Ask your question anytime, anywhere, with no hassle.

Start your 7-day free trial
puterssupportAuthor Commented:

Mail flow through BTconnect works fine, except for the forward element, which is utterly bizarre. The reply address is the same, although, I've read elsewhere that there is spoofing involved in forwarding?

Anyway - I've implemented  a workaround routing emails via DNS and setting up a reverse DNS record.
OK, did you contact BTconnect about it?  Maybe they can tell you why it is failing and if there really is spoofing taking place.  I've never had a problem myself with forwarding to external contacts and we use a 3rd party as well (MessageLabs).
Ultimate Tool Kit for Technology Solution Provider

Broken down into practical pointers and step-by-step instructions, the IT Service Excellence Tool Kit delivers expert advice for technology solution providers. Get your free copy now.

puterssupportAuthor Commented:
I've spoken with BT - they want to charge us to support us as they declare that the problem must be with our setup, even after explaining that it works fine when BTs SMTP servers are not part of the equation !
puterssupportAuthor Commented:
Accepted own answer as workaround was implemented myself.
You should have actually accepted your own answer then.  Better for the community, just saying.

See here:
It's more than this solution.Get answers and train to solve all your tech problems - anytime, anywhere.Try it for free Edge Out The Competitionfor your dream job with proven skills and certifications.Get started today Stand Outas the employee with proven skills.Start learning today for free Move Your Career Forwardwith certification training in the latest technologies.Start your trial today

From novice to tech pro — start learning today.

Question has a verified solution.

Are you are experiencing a similar issue? Get a personalized answer when you ask a related question.

Have a better answer? Share it in a comment.