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Ok, I fixed the outgoing mail problem from my server by changing the smtp, so now hotmail receives but the clients still cannot reply, I have attached the error message below...
Reporting-MTA: dns;bay0-omc2-s13.bay0.hotmail.com
Received-From-MTA: dns;BAY134-W3
Arrival-Date: Sun, 13 May 2007 01:00:52 -0700
Final-Recipient: rfc822;p.kennedy@ssqrealestate.com
Action: failed
Status: 5.5.0
Diagnostic-Code: smtp;550-Callback setup failed while verifying <losthomesickalien@hotmail.com>
550-(result of an earlier callout reused).
550-The initial connection, or a HELO or MAIL FROM:<> command was
550-rejected. Refusing MAIL FROM:<> does not help fight spam, disregards
550-RFC requirements, and stops you from receiving standard bounce
550-messages. This host does not accept mail from domains whose servers
550-refuse bounces.
550 Sender verify failed
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