Why: Policy does not allow granting permissions at this level to one or more of the recipient(s). Please select another permission level and send the sharing invite again. – Outlook
This problem occurs if the sharing policy doesn't allow the user to share the level of detail that the user set in the sharing invitation.
- Connect to Exchange Online by using Remote PowerShell.
- Determine the sharing policy that's assigned to the user. Run the following command and note the policy returned.
Get-Mailbox User1 | fl *sharing*
- Update the sharing policy for the user. Open Exchange Admin Center -> Organization -> double-click the policy that is assigned to the user in Individual Sharing.
- On the Sharing Rule page select the calendar sharing level that you want to allow under Specify what information you want to share, and then click Save.
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