In Copilot Studio: Verify the agent is successfully published. If not, publish it again and If the agent is part of a managed/solution-based setup (for example, Store Operations Agent).
Check:
Required flows are enabled.
Connection references are valid.
The solution/agent setup has completed without errors.
If the agent was recently imported or updated, republish it to ensure the latest version is available.
In Microsoft Teams:
Refresh the agent configuration used by Teams:
In the Microsoft Teams admin center, locate the agent app, disable it, wait a few seconds, then re-enable it.
In Copilot Studio, turn off the Teams channel for the agent, save, then turn it back on.
Republish the agent after re-enabling the Teams channel.
After these steps, retry the conversation in Teams after a short wait to rule out propagation delays.
Whether this is a known/service-related issue
SystemError is documented as a generic system error in Copilot Studio that requires backend or configuration validation and may need support-assisted remediation.
There is a known limitation where Teams can continue using an older agent configuration after republish, which can cause a generic SystemError during execution until the configuration is refreshed.
If you already tried with all the steps which is suggested but still the issue is not resolved means then the final step is to raise a Microsoft Support and provide the following details:
Conversation ID
Agent ID
Exact UTC time of the error so the backend logs can be investigated.
MS can investigate and provide you relevant feedback.
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