If you have a PC at home, does it work on that one?
If so, you can try moving any contents onto the machine at home, and then use Disk Management to format the drive. I have seen instances where problems arise from a number of issues (corrupt data, file depth, etc.).
The fact that the Scandisk thumbdrive works (if used on the same port), would suggest an issue with the Lexar drive. I am assuming it was listed as a removable drive in My Computer when connected.
Note - It is of course possible that a policy was set for your group (or account) that would explain the issue.
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