I got same error, and tried all possible azure-ai-generative versions from 1.0.0b9 to 1.0.0b11.

Traced down to the repo change that broke the code in the azure-ai-ml package. https://github.com/Azure/azure-sdk-for-python/commits/main/sdk/ml/azure-ai-ml/azure/ai/ml/_telemetry/logging_handler.py

The bad news is that azure-ai-generative is deprecated, need to use azure-ai-evaluation. https://pypi.org/project/azure-ai-generative/#description

so, i think the notebook will not run unless the contoso-chat repo makes the upgrade... probably raise it as an issue to repo owner:

https://github.com/Azure-Samples/contoso-chat