Lookup for "354 5.7.12"
Permanent Error - This status code indicates a permanent issue and is unlikely to resolve itself. You should contact the Email Service Provider.
Basic Status Code Details (354)
Start mail input; end with
Enhanced Status Code Details (5.7.12)
Password transition required
The user needs to transition to the selected authentication mechanism. This is typically done by authenticating once using the [PLAIN] authentication mechanism. The selected mechanism SHOULD then work for authentications in subsequent sessions.