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Newly Assigned Microsoft Teams Policy Not Updating

Issue

Recently added Microsoft Rooms to a Messaging policy which turned off Chat. Add multiple rooms to the policy but the next day only one of the rooms was working as intended, the other rooms still showed the Chat feature in Teams.

Multiple restarts did not do anything.

Solution

This issue was caused by stale local client data (cache) in the New Teams client. The local cache held the old configuration settings, preventing the client from pulling and applying the new policy from the Microsoft servers, despite multiple restarts of the computer.

The Fix
The issue was resolved by manually forcing a policy sync through a full cache clear of the New Teams client on each affected computer.

1. Quit Teams Ensured the Teams client was completely exited (via the taskbar icon, not just minimized).

2. Clear Cache Deleted all files and folders in the New Teams client cache directory: %localappdata%\Packages\MSTeams_8wekyb3d8bbwe\LocalCache\Microsoft\MSTeams

3. Relaunch Restarted the Teams application, forcing it to rebuild its configuration and download the updated, chat-disabled policy from the server.

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