A user in our organization deleted two subfolders by accident. She went to Tools -> Recover Deleted Items menu,...
and can see both of the subfolders she deleted. She received the normal permissions error upon trying to do this. As both a domain administrator and an Exchange administrator, I tried to do it from my Microsoft Outlook client, and received the same error.
It seems to be an issue of trying to recover an entire folder, not just a message, because when recovering a message by itself, it does not give this error. I have checked permissions on the entire Exchange public folder store, and everything seems to be in place for me to have this permission. Why am I unable to recover these deleted folders?
If Deleted Items retention has been configured on the public store, you will see the deleted folders appear in red. Right click on the one you want to recover and choose the option to recover it.
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