Case History. 1. Client already had users created in office 365 2. Client wanted to setup SSO for office 365 users Approach for requirement fullfilment 1. Deployed and configured Azure AD connect 95% users were synced and soft match was successfully done 5% users were getting error - QuarantinedAttributeValueMustBeUnique (to view the sync issues - https://aad.portal.azure.com/#blade/Microsoft_Azure_ADHybridHealth/AadHealthMenuBlade/SyncErros ) When we checked 2 users were found under Active users 1. one in Cloud (this was created earlier/ already existed ) with active licenses and Mailbox 2. one unlicensed synced with AD Solution - 1. Delete the unwanted user in Azure or AD as per this document. https://blogs.msdn.microsoft.com/hkong/2017/03/23/how-to-fix-attributevaluemustbeunique-error-message-when-trying-to-sync-an-object-from-on-premises-active-directory-to-office-365/ ...
Microsoft 365 in an Enterprise Environment: Summary & Simple Implementation Guide