Disable-Mailbox -Archive in EXO with M365 Retention Policies assigned

Hello, working with a client that has 3 M365 retention policies assigned org-wide:

1. For All EXO mailboxes and all SPO/OneDrive's

2. For Teams Chats - all users/Teams

3. For Teams everything else - all users/Teams

I'm unable to exclude a mailbox from #2 or #3 via Set-RetentionCompliancePolicy -AddExchangeLocationException, due to error TL;DR: this policy controls teams and Exchange settings are not allowed to be changed.

I'm unable to do Disable-Mailbox -Archive, as the error tells me about the Teams policy #3 above being assigned (which indeed shows up in Get-OrganizationConfig).

User's InPlaceHolds properly shows -mbx<guidOfPolicy#1Above>, and DelayHoldApplied/DelayReleaseHoldApplied both set to False.

I'm unable to do Set-Mailbox -ExcludeFromAllOrgHolds, because that is only allowed on Inactive Mailboxes.  Same goes for Set-Mailbox -ExcludeFromOrgHolds.

My use case - UserMailbox which was enabled with an online Archive is now converted to a SharedMailbox, only requires <50GB, and no Archive. Archive is not even allowed per the EXO Service Descriptions for an un-licensed SharedMailbox.

I find no way to drop the Archive mailbox successfully.  This is fine, except the hypothetical scenario where the users of this SharedMailbox start to place items into the Archive, and then Microsoft invents something which takes away Archive mailboxes from un-licensed accounts.  Not sure if that will ever happen, but I see no way to get this done and be on the right side of the license terms.

Any ideas?