Office 365 sales order and corresponding Provisioning "Subscription" task fails with:
Creation of resource with type 'http://aps-standard.org/types/dns/zone/1.1' is not allowed. Make sure that corresponding Resource is included into Subscription and does not exceed its limit.
DNS Hosting resource in Office 365 Service template is configured incorrectly.
To fix already affected subscription, refer the Office 365 documentation, check and set resources limits accordingly.
In order to avoid the issue in the future, it is required to change limit in the Office 365 service templates according to documentation: Creating 'Office 365' Service Template.