OneDrive for Business unable to perform delete folder directly caused by Retention Policy
Dear Microsoft,
OneDrive for Business is one of the useful tools for cloud storage whereby end user should be able to folders (even got files inside) easily even being applied with retention policy.
Retention policy is suppose used on backend which not suppose to affect on OneDrive for Business usage. We are have 500 users getting impact on this. (and i assume all users having this issue as Microsoft support tested having this issue - "behaviour")
I was informed by Microsoft that this is by default preservation policy design behaviour, which I think this is not consider design behavior anymore as is causing the OneDrive for business folder deletion problem.Again, retention policy on OneDrive shouldn’t affect the folder deletion method as there is No Different that user can either delete all the files inside and delete the folder, or delete the entire folder directly.
Please fix this problem as soon as possible, otherwise this issue is serious discourage people to use the retention policy feature. Email me if seriously looking into this issue.

Working on the design for this currently. Will update status as we make progress.
45 comments
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Dom commented
It is a shame. The intention is to prevent the user to delete files. As a result, you have to buy more space. It is so crazy, unbelievable.
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Anonymous commented
I am having this issue as well. I would like to delete a folder that contains a ton of subfolders and files. It's not allowing me to do this, telling me I have to delete all files in the folder first. This will take all day to do!
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Bernard Welmers commented
This actually happens on the SharePoint side in general. I was unable to delete a number of sites that had no content due to the retention policies. I was even unable to delete lists/libraries due to the retention.
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Anonymous commented
Hello, yes, this issue in affected on OD4B on web only... so far and hoefully... It is seriously affected on those users who are heavily using web (which no fix PC). Hope Microsoft able to take some action to resolve this where not only stop at mentioning is retention policy design behavior. which, this is causing the problem.
Again, retention policy is not suppose to affect on OneDrive for Business folder deletion method as in NO DIFFERENT between that user can just delete the files then delete folder, and delete entire folder directly.
I have getting very disappointed that Microsoft support always just mentioned this is by design behavior and closed the case without further look into that the design behavior = problem caused to user.
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Anonymous commented
I can reproduce the issue as well. When a retention policy is in place on someone's onedrive site, and then they try to delete a folder containing items (files or other folders) they will receive the error message "You have to delete all the items in this folder before you can delete the folder"
Removing the retention policy and waiting for a bit of time for propagation will then allow you to delete the folders without issue. Just checked again now and re enabled the retention policy and am now forbidden from deleting the folders.
This only affects onedrive in the portal, it does not affect the sync client. The sync client can delete entire folders without issue with or without a retention policy in place.
Please address this!