I once got a right bol****ing from my tech for running 20,000 sheets of XEROX DIGITAL CARBONLESS through my XEROX DC250. I thought as I was using proper Xerox Digital paper then it would be fine. By the end of the run the print quality was really bad. Called the tech out and the whole machine had to be gone over - took him all day. He told me that the DC250 CANNOT run NCR, even the proper Xerox stuff (you may get away with a short run of course, but it will affect the machine). I argued the case with him as I thought why sell the stuff if it cannot run on the machines. He them produced the recommended materials list and sure enough, it is not listed on the DC250 list. I also have a DC12 and a DC5252, which both do list the Xerox carbonless as a recommended paper.
As far as I am aware, the 700 is based on DC250 technology, so therefore may not be able to run the carbonless. I simply run all my carbonless on the DC12 or DC5252 now and have had no problems at all. I can assure you however, that stuff really stuffed up my DC250.
Simon