I have just started my Microsoft CRM 4.0 VM, tried to run a .NET console application and I got a full list of errors although the code was working fine the night before! When I tried to open Microsoft CRM 4.0, I got an error “Invalid Action” with the sentence starting with “error in command”. This failure was happening with all CRM organisations not just related to a specific one.
When I checked my event log, I found the following errror:
Event Type: Error
Event Source: MSCRMKeyGenerator
Current active key (KeyType : CrmWRPCTokenKey) is expired. This can indicate that a key is not being regenerated properly. Current Active Key : CrmKey(…, ScaleGroupId:00000000-0000-0000-0000-000000000000, KeyType:CrmWRPCTokenKey, Expired:True, ValidOn: …, ExpiresOn: …, CreatedOn: …, etc..
When I searched for a cause/solution for this issues, I found this excellent post on Nishant Rana’s blog (http://nishantrana.wordpress.com/2008/06/11/invalid-action-error-microsoft-dynamics-crm-40/).
Following the advice on this page, I searched and started the Microsoft CRM Asynchronous Processing Service on the CRM server and this has solved the problem instantly for me.
Hope this helps!