Sendmail 8.13 weirdness

I'm seeing these messages in my maillog and not sure how to correct
them. No matter what I try in the sendmail.cf file, I can't change the
relay and in fact, it almost seems like sendmail is ignoring the cf
file (there are no other cf files on my system other than the /etc/
mail/sendmail.cf). It appears that sendmail.mc is compiling correctly.
The strange thing is, I can only send mail to my domain, I cannot send
mail to any other domain (ie; hotmail, gmail, etc) without getting the
'User Unknown' error.

Thanks for any info on this.

-J

[root@odysseus mail]# tail /var/log/maillog
Aug 26 10:40:08 myserver sm-msp-queue[28724]: starting daemon
(8.13.1): queueing@01:00:00
Aug 26 10:40:22 myserver sendmail[28730]: m7QEeMqD028730: from=root,
size=57, class=0, nr
cpts=1, msgid=<200808261440.m7QEeMqD028730@localhost.local domain>,
relay=root@localhost
Aug 26 10:40:22 myserver sendmail[28730]: STARTTLS=client,
relay=mail1.mxsmtp.com., versi
on=TLSv1/SSLv3, verify=FAIL, cipher=DHE-RSA-AES256-SHA, bits=256/256
Aug 26 10:40:22 myserver sendmail[28730]: m7QEeMqD028730:
to=mymail@gmail.com, ctladdr=root (0/0), delay=00:00:00,
xdelay=00:00:00, mailer=relay, pri=30057, relay=mail1.mxsmtp.com.
[64.194.204.160], dsn=5.1.3, stat=User unknown
Aug 26 10:40:22 myserver sendmail[28730]: m7QEeMqD028730:
m7QEeMqE028730: DSN: User unknown
Aug 26 10:40:22 myserver sendmail[28730]: m7QEeMqE028730: to=root,
delay=00:00:00, xdelay=00:00:00, mailer=relay, pri=31081,
relay=mail1.mxsmtp.com. [64.194.204.160], dsn=5.1.3,stat=User unknown
Aug 26 10:40:22 myserver sendmail[28730]: m7QEeMqE028730:
m7QEeMqF028730: return to sender: User unknown
Aug 26 10:40:22 myserver sendmail[28730]: m7QEeMqF028730:
to=postmaster, delay=00:00:00,xdelay=00:00:00, mailer=relay,
pri=32105, relay=mail1.mxsmtp.com. [64.194.204.160], dsn=5.1.3,
stat=User unknown
Aug 26 10:40:22 myserver sendmail[28730]: m7QEeMqE028730: Losing ./
qfm7QEeMqE028730: savemail panic
Aug 26 10:40:22 myserver sendmail[28730]: m7QEeMqE028730:
SYSERR(root): savemail: cannot save rejected email anywhere