Circular Logging
Exchange Server 2010
Microsoft Exchange Server 2010 databases should not be configured to use circular logging if you also plan to use the Volume Shadow Copy Service to enable third-party (or custom) backup and recovery operations. If circular logging is enabled, the following will occur:
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The restoring of individual databases will be prohibited if circular logging was enabled during the backup operation or is enabled during the recovery operation.
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Transaction logs in the same directory may be deleted when a database is restored, although those logs might be part of a different Exchange 2010 database. This means that if circular logging is enabled, only point-in-time recovery operations are possible.
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Incremental and Differential backup operations will not be permitted.
Local Continuous Replication (LCR) and Cluster Continuous Replication (CCR) are included in Microsoft Exchange Server 2007, but are not available in Exchange 2010. Circular logging was not supported in LCR and CCR configurations.