Thanks for all replies.
problem appears to be cleared now

she had been using web hotmail abroad, which was 'upgraded' to windows live
sometime either automatically as claimed by her or pehaps by inadvertant
selection.
windows live continued to work while abroad (internet cafes).
however on returning home it refused to work on Win Me.

however later in the evening it did work. I know not why.

I suggested that she used the 'opt out' link i found which disconnected her
from windows live without any comment, goodbye, good luck or anything. She
was then able to use her hotmail account again

thanks for your kind interest