Your account is in bad state is an annoying Office 365 error that prevents users from signing in.
As a workaround, users are asked to sign-in to an online account.
But the solution provided by Microsoft does not always work.
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How to Fix Office 365 Bad State Account Errors
1.
Check your subscriptions and Office version
see to it youre running the latest Office 365 version.
If the respective mention is not available, you should probably load the latest Office 365 updates.
To fix it, you’re gonna wanna run a series of cmdlets.
First, you gotta connect to the Microsoft Azure Active Directory Module for Windows PowerShell.
While this quick workaround may not work for everybody, its worth giving it a try.