System.Net.Mail.SmtpFailedRecipientException: Mailbox unavailable in sharepoint 2007 - sharepoint

I have created a document library in sharepoint 2007 and i have enabled incoming email settings to the doc library. When I am trying to send an email from workflow I am getting the error...
System.Net.Mail.SmtpFailedRecipientException: Mailbox unavailable. The server response was: 5.7.1 Unable to relay for EmailDocLibrary#xxx.com
at System.Net.Mail.SmtpClient.Send(MailMessage message)
at DP.Sharepoint.Workflow.Common.SendMailWi
Do i need to setup anything before sending an email. Please help me.
Thanks

Your outgoing mail server isn't setup for relaying from just any address. Checkwith your email server adminto make sure that you are able to send outgoing messages with the email address you have.

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