A unified data governance solution that helps manage, protect, and discover data across your organization
Thank you for sharing the details.
The error message you're encountering - Microsoft.Exchange.Management.UnifiedPolicy.RmsInactiveForTenantException | Rights Management is not active for the tenant - indicates that Azure Rights Management (RMS) is not enabled for your Microsoft 365 tenant.
This service is required to apply encryption - based sensitivity label features, such as restricting access or usage rights on documents and emails.
To resolve this - You will need to activate the Rights Management service for your tenant. Here are two ways to do it:
Using PowerShell
Open PowerShell as Administrator.
Run the following commands:
Install-Module -Name AIPService -Force
Connect-AipService
Enable-AipService
Get-AipService # to confirm it's enabled
You will need to be a Global Administrator or Compliance Administrator to perform this.
For more details, please refer: Activating the protection service from Azure Information Protection
Using Microsoft Purview Portal
Go to the Microsoft Purview Compliance Portal: https://compliance.microsoft.com
Navigate to: Information protection > Labels
If prompted, follow the on-screen steps to activate protection.
Once activated, you should be able to save and apply sensitivity labels with encryption settings.
Please refer similar thread on Microsoft Q&A platform for useful insights: Cant Enable Access Control for Sensitivity Labels in Microsoft Purview
I hope this information helps. Please do let us know if you have any further queries.
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