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Domino does not, however, do user-level authentication for outbound SMTP when it connects to the outbound relay. Why? Because it is a server, not a user. It does not impersonate users for outbound SMTP connection, because that would require that Domino store user passwords and that would be a security hole wide enough to drive a truck through. If your Exchange admin is expecting Domino to do that, then he needs to be, ummm... re-educated.
Feedback response number WEBB8SVQVH created by Rich Schwartz on 03/30/2012