Recently I got a message from Mr Lincoln after picking up a piece of furniture in DragonSpyre. He was telling me that my backpack and my bank were completely full. This turned out to be false. I still had two slots available in my backpack for items, yes the item was there. If you see a message like that from Mr Lincoln and you are sure there is room in your backpack and in your bank. Don't be alarmed by the poorly timed message. it has to be some sort of bug.
Mr. Lincoln is probably just warning you that your backpack and/or bank is getting close to being full, so that you'll have time to store or sell things that you don't need.