I sporadically get the error "you are attempting to create a user with a domain logon that does not exist" when I log in to my development environment. When it enters this state there appears to be nothing I can do to resolve the error apart from
walk away from it for a hour or two and then try again when it might work.
A complete reboot of all servers has no effect, IISRESET has no effect, this is an account which usually works so it most definitely exists and the error occurs when I try to login so I am not trying to create any user.
Why is CRM lying to me? what is the real error and how on earth can it be made to work again?