Hi @JarotS ,
Please have a check that the SystemFlags property of the "Hybrid Configuration" container has this value set. If the value is not in the container, the system will not allow the object to be deleted or moved to another domain.
System-Flags attribute - Win32 apps | Microsoft Learn
I would like to know on which server you are running PrepareAD.
According to my research, adding an Exchange 2016 server in a hybrid environment requires updating the Active Directory schema before preparing Active Directory.
Here is an article detailing how to upgrade from hybrid Exchange 2010 to hybrid 2016 .for you reference:Hybrid Exchange 2010 To Hybrid Exchange 2016 - Part One (c-sharpcorner.com)
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