Hi @Ian Deguara
Regarding to your description, may I know how did you set up the external access to Teams. For example:
Guest vs. External Access in Teams
-Guest Access: Adds users to your directory with nearly full collaboration rights.
-External Access: Allows chat, calls, and meetings with users from other organizations without adding them to your directory
Cross-Tenant Collaboration
-Configure organizational relationships in Entra ID for shared channels and meetings across tenants
As far as I know, I don't recommend using the conditional access because it will block using Teams app and the user cannot use related apps such as OneDrive or SharePoint
In addition to get the most accurate and quickly response, I strongly suggest you raise a ticket to Microsoft Support team. Once the ticket is submitted, it will transfer to specialize team who have wide range of knowledge about this situation. For detailed instructions on how to get support, please refer to Get support - Microsoft 365 admin.
Note: If you’re unsure who the Global Admin is within your organization, you can find guidance on locating them here: How do I find my Microsoft 365 admin? - Microsoft Support.
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