diff --git a/common/djangoapps/third_party_auth/pipeline.py b/common/djangoapps/third_party_auth/pipeline.py
index 418f0b7167..97e496a775 100644
--- a/common/djangoapps/third_party_auth/pipeline.py
+++ b/common/djangoapps/third_party_auth/pipeline.py
@@ -151,19 +151,6 @@ class AuthEntryError(AuthException):
     """
 
 
-class NotActivatedException(AuthException):
-    """ Raised when a user tries to login to an unverified account """
-    def __init__(self, backend, email):
-        self.email = email
-        super(NotActivatedException, self).__init__(backend, email)
-
-    def __str__(self):
-        return (
-            _('This account has not yet been activated. An activation email has been re-sent to {email_address}.')
-            .format(email_address=self.email)
-        )
-
-
 class ProviderUserState(object):
     """Object representing the provider state (attached or not) for a user.
 
@@ -514,26 +501,24 @@ def ensure_user_information(strategy, auth_entry, backend=None, user=None, socia
             # This parameter is used by the auth_exchange app, which always allows users to
             # login, whether or not their account is validated.
             pass
-        # IF the user has just registered a new account as part of this pipeline, that is fine
-        # and we allow the login to continue this once, because if we pause again to force the
-        # user to activate their account via email, the pipeline may get lost (e.g. email takes
-        # too long to arrive, user opens the activation email on a different device, etc.).
-        # This is consistent with first party auth and ensures that the pipeline completes
-        # fully, which is critical.
-        # But if this is an existing account, we refuse to allow them to login again until they
-        # check their email and activate the account.
-        elif social is not None:
-            # This third party account is already linked to a user account. That means that the
-            # user's account existed before this pipeline originally began (since the creation
-            # of the 'social' link entry occurs in one of the following pipeline steps).
-            # Reject this login attempt and tell the user to validate their account first.
-
-            # Send them another activation email:
-            student.views.reactivation_email_for_user(user)
-
-            raise NotActivatedException(backend, user.email)
-        # else: The user must have just successfully registered their account, so we proceed.
-        # We know they did not just login, because the login process rejects unverified users.
+        elif social is None:
+            # The user has just registered a new account as part of this pipeline. Their account
+            # is inactive but we allow the login to continue, because if we pause again to force
+            # the user to activate their account via email, the pipeline may get lost (e.g.
+            # email takes too long to arrive, user opens the activation email on a different
+            # device, etc.). This is consistent with first party auth and ensures that the
+            # pipeline completes fully, which is critical.
+            pass
+        else:
+            # This is an existing account, linked to a third party provider but not activated.
+            # We now also allow them to login again, because if they had entered their email
+            # incorrectly then there would be no way for them to recover the account, nor
+            # register anew via SSO. See SOL-1324 in JIRA.
+            # However, we will log a warning for this case:
+            logger.warning(
+                'User "%s" is using third_party_auth to login but has not yet activated their account. ',
+                user.username
+            )
 
 
 @partial.partial
diff --git a/common/djangoapps/third_party_auth/settings.py b/common/djangoapps/third_party_auth/settings.py
index a856aefa4f..fd9fa7abf9 100644
--- a/common/djangoapps/third_party_auth/settings.py
+++ b/common/djangoapps/third_party_auth/settings.py
@@ -73,11 +73,10 @@ def apply_settings(django_settings):
     django_settings.SOCIAL_AUTH_RAISE_EXCEPTIONS = False
 
     # Allow users to login using social auth even if their account is not verified yet
-    # The 'ensure_user_information' step controls this and only allows brand new users
-    # to login without verification. Repeat logins are not permitted until the account
-    # gets verified.
-    django_settings.INACTIVE_USER_LOGIN = True
-    django_settings.INACTIVE_USER_URL = '/auth/inactive'
+    # Otherwise users who use social auth to register with an invalid email address
+    # can become "stuck". We control this in a more fine-grained manner in pipeline.py
+    django_settings.SOCIAL_AUTH_INACTIVE_USER_LOGIN = True
+    django_settings.SOCIAL_AUTH_INACTIVE_USER_URL = '/auth/inactive'
 
     # Context processors required under Django.
     django_settings.SOCIAL_AUTH_UUID_LENGTH = 4
diff --git a/common/djangoapps/third_party_auth/views.py b/common/djangoapps/third_party_auth/views.py
index 58fd17c784..daa104383b 100644
--- a/common/djangoapps/third_party_auth/views.py
+++ b/common/djangoapps/third_party_auth/views.py
@@ -17,8 +17,13 @@ URL_NAMESPACE = getattr(settings, setting_name('URL_NAMESPACE'), None) or 'socia
 
 def inactive_user_view(request):
     """
-    A newly registered user has completed the social auth pipeline.
-    Their account is not yet activated, but we let them login this once.
+    A newly or recently registered user has completed the social auth pipeline.
+    Their account is not yet activated, but we let them login since the third party auth
+    provider is trusted to vouch for them. See details in pipeline.py.
+
+    The reason this view exists is that if we don't define this as the
+    SOCIAL_AUTH_INACTIVE_USER_URL, inactive users will get sent to LOGIN_ERROR_URL, which we
+    don't want.
     """
     # 'next' may be set to '/account/finish_auth/.../' if this user needs to be auto-enrolled
     # in a course. Otherwise, just redirect them to the dashboard, which displays a message