Text-based conversations between users with searchable history in Microsoft Teams Free
Unfortunately, at the moment, Microsoft Teams does not provide an option to delete all chats at once. You need to remove them individually from the Chat list.For a one-on-one chat, you can select the chat, click More options (...), and choose Remove chat history (this only affects your view; other participants may still have access to the conversation). For group or meeting chats, you can leave the chat or delete it depending on the account type and available options.
If you are using Teams Free, chats can be deleted individually from the Chat tab by selecting the chat and choosing Delete.