Did you fix your problem because I seem to be having the same type of
problem, I can't hit the merge key and I can't select the folder I want in
the contacts folder. Any suggestions?

"Polar Bear Dave" wrote:

I'm using mail merge to create mailing labels. I want to use the Outlook
Contacts folder for the names and addresses. When I select the folder I get
the following error message -

This operation cannot be completed because of a dialog or database engine
failure. Try again later.

Any thoughts?