Problems started with the Send/Receive issues in early May with update.
Folders were reorganized by the update,
There wasn't any update in early May, and updates don't reorganize folders. I'm going to guess that your account was affected by the outage 8-13 May caused by an expired security certificate on some servers hosting msn.com accounts. Does this ring any bells?
If it does, then one of the workarounds posted in these forums was to set up the account to use IMAP instead of the default DeltaSync. This uses different servers not affected by the outage. However, detailed configuration instructions weren't posted at
the time for outlook.com IMAP accounts in Windows Live Mail. As a result, users ended up with duplicated folders at outlook.com - the ones that should be there (Sent,
Junk and Deleted) and the ones synchronized from Windows Live Mail (Sent items,
Junk email and Deleted items) that shouldn't be there.
It now depends on whether the account in question is still set up to use IMAP, or whether it's been re-configured to use DeltaSync. You can tell by right-clicking on the account name in the folder pane and selecting
Properties. The properties dialogue for a DeltaSync account has three tabs, while that for an IMAP account has five. How many does yours have?