Outlook, Exchange, Distribution Lists, where to host them

I have a client with an Exchange 2010 server in the building.  For some reason, a single user is creating distribution lists on her Outlook 2013 profile and then sharing them out for the office.  When another co-worked wants to send something to a shared distribution list, they grab it off of the shared Outlook profile of this individual.

The problem is this:  A user in the office send an email using one of the shared dist lists on the other outlook profile.  There are 37 peeps in the dist list.  37 peeps show in the TO field right before she hits send.  When the email shows in the sent folder, there are only 35, or 34, or 27 names.  It's random.  It's like Outlook is randomly stripping out names.

the stripped out names are good email addresses and we can send to them individually.  It's not always the same name either.  

Now, my first thing was to check updates and we are good there.  My second thing was that dist lists should not be managed that way.  I feel like they should be on the exchange server for the organization to share.

So, my question is has anyone ever seen dist lists used this way?  An individual creating them on her PC and sharing them out with the org?

And, should dist list like this be managed on the exchange server?

Thoughts?

Thanks

Cliff
crp0499CEOAsked:
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Don S.Commented:
Yes, I have seen users do this, and yes, it creates a mess.  Shared distribution lists should always be done in AD/Exchange.  An individual's distribution list is for their own use if they want to do that - it was never designed to be used by others.
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crp0499CEOAuthor Commented:
Thank you
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