Solution to problem "Sorry, something unexpected happened and Windows Live Mail must close."

This issue is usually a result of your contacts folder becoming corrupted or being empty.  At least that is what I found in my case.  I will not take credit for the solution which I found here http://reedone816.wordpress.com/2012/07/03/common-error-in-windows-live-mail/

Just a matter of renaming the contacts folder to .old.  Let me point out that this same error will occur when the contacts folder is empty so after renaming the folder you will get the error when you open live mail again until you add at least one contact.  The solution noted on that web page was written for old XP so also note that in Windows 7 and 8 the contacts folder is located at c:\users\your name\appdata\local\Microsoft\Windows Live Contacts.  In order for you to be able to see the appdata folder you must first go to control panel-folder options-view tab and tick the "show hidden files and folders".  Don't forget to untick this when you are finished. Reboot for the changes to take effect.

If you are having this issue I hope that you have a good exported copy of all your contacts so that you can import them back into WLM.  If not you'll have to add them back manually.

Hope this helps someone.