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That's a new one. Haven't seen that before.
I tried this this morning. I created a new lead and a new contact in SFDC and synched them to Marketo. Then I merged them in Marketo successfully. Is this what you tried to do? Or was there a different process you were asking about?
I have been getting a different error for about the past month when trying to merge leads via Marketo. I submitted a case (still open), in which Support mentioned it's part of a larger issue.
The error I was getting was: API error: HTTP Code: 200
Steven, your scenario is the same as mine. I am able to merge most records without issue. Occasionally I'll get an error, but its either due to one of the Marketo leads is an orphan because the corresponding SFDC record being previously deleted or due to a DupeCatcher filter, but this is a new error message for me.
I have the same API error: HTTP Code: 200 happening to me. We are considering using the easy merge service to get rid of our dupes, I wonder if this will even work.