Because misconfiguration is so often the cause of L2TPv3 issues, this section contains a review of L2TPv3 (LAC to LAC pseudowire) configuration on Cisco routers.
There are two ways of configuring L2TPv3 on Cisco routers:
Configuring L2TPv3 using dynamic session setup (as described in the section “Technical Overview of L2TPv3”)
Configuring L2TPv3 using static sessions
The sections that follow describe these two configuration methods in greater detail.