OK, I have solved the problem.
You setup email on your mobile device as an IMAP account as Charter instructs you to do.
HOWEVER, in your email software in Windows Live Mail, Outlook express, etc setup your account as an IMAP as well... do not set it up as a POP3.
Incoming E-Mail Server: imap.charter.net
Outgoing E-Mail Server: smtp.charter.net
Server Type: IMAP Server
My Windows Live Mail defaulted to Port 25 for outgoing (SMTP) mail and Port 143 for incoming (IMAP) mail, and this works great.
A note: IMAP Server If you are using an IMAP account, items deleted will remain on the server until you empty the trash (click the “purge” or “empty trash” icon).
Charter Help - What are my email settings and Webmail address?
I just got off the phone with Charter technical support to tell them about the problem (again), and let them know the resolution for now - the ticket they created for me is ticket #W660471 and they are looking into why this problem is occurring. If you google this error message you will see we are not alone in this... however problem is solved for now.