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I am trying to do this using the command described through this article:

http://technet.microsoft.com/en-us/library/fp161387.aspx

The description of the parameter Owner says: "Specifies the owner (individual or a security group) of the group to be created."

But when i try to add a security group through the Sharepoint user interface it says: "A domain group can't be the owner of a group"

Also when I fire this command "Set-SPOSiteGroup -Site https://blabla.sharepoint.com -Identity "Group1" -Owner "Group2" " trying to set the sharepoint group "group2" as owner of the sharepoint group "group1" PowerShell responds as following:

Set-SPOSiteGroup : The specified user Group1 was not found ...

Any suggestions of what I am doing wrong?

  • I'm having the same problem, did you ever find a solution? – Dean Jul 19 '15 at 23:48
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That means that after -Owner parameter you must indicate a valid account that already exists. The user must be a nominal user or a Security Group from Active Directory

By the other hand take care of the name of the groups because they are case sensitive. You should check first if Group1 exists

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    The command works perfect as long as I add a user account based on an email address. But it fails when I type in the titel of a security group ore SP group. Group1 does exist, I checked with the Get-SPOSiteGroup command. – Jacob Filtenborg Sep 24 '13 at 14:19
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I was looking for an answer to this question and arrived here. After some thinking here is how I solved this issue. Whenever you try to set a group as an owner and in Set-SPOSiteGroup if you pass name of group directly as string in Owner parameter, it never recognizes it. For example

Set-SPOSiteGroup -Site $siteUrl -Identity $groupIdentity -Owner OwnerGroupName

This will not work unless you do the following:

$ownerGroup = Get-SPOSiteGroup -Site $site OwnerGroupName
Set-SPOSiteGroup -Site $siteUrl -Identity $groupIdentity -Owner $ownerGroup

This worked fine for me.

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