Koen Verbeeck (3/7/2014)

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Carlo Romagnano (3/7/2014)

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Koen Verbeeck (3/7/2014)

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Nice question, but I believe "not connected as sysadmin" is an equally correct answer though.

ps: no actual connections to a certain Grant who is always ranting? 😎

From BOL:

The grantor (or the principal specified with the AS option) must have either the permission itself with GRANT OPTION or a higher permission that implies the permission being granted. Members of the sysadmin fixed server role can grant any permission.

Nothing in the question implicates Grant has the permission itself (it's a very logical assumption that he has, but an assumption nonetheless).