Email not linking contact, just email address

We're having an odd issue all of a sudden.

When we email a quote, it's not linking the contact, just the contacts email address. This is affecting our email template merge fields

When we delete the email address, and add the contact in, the email sends without issue

What can we look for in order to fix this? I can confirm that the merge fields are correct as I deleted them and added them in through the wizard

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