Never mind, figured this out.

Scenario When a new Contact record with an already existing Name is created, the following error appears: "A contact with this record already exist. Every contact record must have a unique name."  The error occurs: • When both Contact records are not associated to Company. • When both Contact records are associated to the same Company. Note: The Contact is saved successfully with the same Contact name field if there is a different Company associated or one of the Contact records is not associated to a Company. Example: If there is an existing Contact with the name Andrea Philips_ _associated with Company A, adding another Contact with the same Name associated with the same Company will throw the error. Solution Use a unique Name in the Contact record. Add a number or letter to make the Name field unique. Note: Duplicate First Name and Last Name for Contact records are accepted but the Contact name field must be unique.