Can a legal hold email also generate an NDR?

[Jacob Airov]

We are looking to find out if its possible to terminate a user by throwing them in legal hold, remove the license, and then have the account generate an NDR?

[#2]

once the account in soft deleted, senders will receive NDR. Legal hold will store the mailbox 

[#3]

It looks like "Inactive Mailbox" is a perfect match for your requirements.

Details and how to enable: https://technet.microsoft.com/en-us/library/dn798632(v=exchg.150).aspx