I noticed you are using PowerMTA. You can defer these emails instead of 
bouncing by adding this to your <smtp-pattern-list>:

reply /554 Transaction failed/ skip-mx

We saw the last of these errors on the 19th. I am willing to share SMTP traces 
if it’s still relevant.

Maarten Oelering

Postmastery
W: postmastery.com
T: +31 20 261 0438

> On 25 feb. 2016, at 20:31, Dickie LaFlamme <rlafla...@dyn.com> wrote:
> 
> I wanted to see if other followers have heard any chatter about Microsoft 
> incorrectly classifying hard bounces for other providers/customers. We've 
> been trying to get to the root cause of why they could be creating so many 
> false positives for our platform over the past few weeks. 
> 
> Final-Recipient: rfc822; (taken out for confidentially)@hotmail.com 
> <http://hotmail.com/>
> Action: failed
> Status: 5.4.0
> 
> By the RFC they should be at least including a diagnostic code, but they are 
> not, this is from a full header to note as well.
> 
> Final-Recipient: rfc822;(taken out for confidentially)@hotmail.com 
> <http://hotmail.com/>
> Action: failed
> Status: 5.0.0 (undefined status)
> Remote-MTA: dns;mx3.hotmail.com <http://mx3.hotmail.com/> (65.55.33.135)
> Diagnostic-Code: smtp;554 Transaction failed
> X-PowerMTA-BounceCategory: other
> 
> Essentially all we got back from Microsoft was that "this should be 
> classified as a soft bounce in your system": No help since we knew that. 
> We've since reclassified that bounce as well as this bounce below:
> 
> Final-Recipient: rfc822; (taken out for confidentially)@hotmail.com 
> <http://hotmail.com/>
> Action: failed
> Status: 5.5.4
> Diagnostic-Code: smtp;501 5.5.4 Invalid arguments
> 
> 
> We've seen this occuring at Hotmail, Live.com <http://live.com/> and 
> Outlook.com <http://outlook.com/>. I'm not looking for a golden ticket from 
> anyone, but I wanted to see if fellow Deliverability professionals are seeing 
> these kind of problems from Microsoft domains. We're just left scratching our 
> heads as we try to fight these fires for our customers both the 
> deliverability team and engineers. 
> 
> Has anyone else been having these problematic issues with Microsoft domains? 
> Thanks, 
> 
>  <http://dyn.com/>         <http://twitter.com/dyn>    
> <http://twitter.com/dyninc> <http://facebook.com/dyn>    
> <http://twitter.com/dyninc> <http://linkedin.com/company/dyn>
> Dickie LaFlamme / Deliverability Specialist  
> 
> 
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