Hello kath,

Did you initialize the account as the document describes?
  http://code.google.com/apis/adwords/docs/sandbox.html#getting-started

The very first request to a new account in Sandbox needs to be a get request 
to the CampaignService. This will populate account with some generated data. 
If another request was the first one, account in a Sandbox can be in 
inconsistent state and produce internal errors.


-Danial, AdWords API Team.

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