A user account was disabled and moved to a different OU in active directory. The account was later enabled so that the mails could be archived. But trying to create an account in outlook failed. It said "the name could not be resolved. The name could not be matched to a name in the address list".
The account was good to log in to the domain and also to access exchange OWA. So I did a little research. These were the links that I got referenced to from "google".
http://technet.microsoft.com/en-us/library/dd439366(EXCHG.80).aspx
http://support.microsoft.com/?kbid=297801
The solution was a bit lengthy to read. So, I thought of exploring the user account properties in Active Directory Users and Computers. Presto! It was right there.
In user account properties (right click the user in context and then choose properties or double-click the user) I went to Exchange Advanced tab. There was a checkbox which read "Hide from Exchange address lists". That thing was checked. Unchecking that let me configure the mail account on outlook client.
So next time, check your mail settings for that user thoroughly before you google.
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