Hi I'm new to the forums
I had this problem and then found a solution, just thought i'd post it here
I'm using XP so things might be different on Vista Machines.
For this to work, you will need to make Hidden Folders visible, do this by opening any explorer window, ie My Computer, then click Tools > Folder Options... Click the View Tab then check "Show hidden files and folders".
Now make sure Live Messenger is closed (
Exit)
Then, navigate to:
C:\Documents and Settings\<Windows User Name>\Local Settings\Application Data\Microsoft
and delete the
Windows Live Contacts folder.
Then all should be good