Additional chat-related features and issues within Microsoft Teams for business
That message is tied to filtering, not a separate setting that can be turned off.
In the screenshot, the Unread filter is active. Teams shows “You’re all caught up!” for the current filtered view when there are no more items matching that filter in the visible result set. The supported way to remove that message is to clear the filter:
- In Chat, look at the filter chips at the top, such as Unread, Chats, or Meeting chats.
- If Unread is highlighted, select it again to turn it off.
- Or select Clear filters.
When no filters are active, Teams returns to the combined chat list.
If the goal is to find unread items more reliably, Teams also supports:
- Quick views at the top of the chats and channels list for items needing attention, such as @mentions or Followed threads.
- On mobile, Catch up shows unread and important conversations in one place.
No context indicates a setting to disable only the “You’re all caught up!” graphic while keeping the filter active.