I had that happen with my 2008 LR3 and my Verizon "Brigade" phone. Some phones are supported by LR and some are not. If the phone isn't supported for your model/year/software load then you'll continue to get that pairing issue.
In my case I used my old Verizon "G-Shock" phone, an earlier model of my "Brigade", and the linking worked. However, it doesn't load my address book into the car's data bank. I've also had problems recently with my Blackberry linking to my LR3, but that may be because my Blackberry is a 2010-11 model and the LR3's phone software doesn't recognize it. Haven't tried to work it out much since I already have a phone paired with my LR3.
One thing I do get from listeners on the other end is that there is a strong echo on the line when someone is talking. That makes it awkward to hear and follow a conversation.