I have a problem with configuring an EDMX file that lives in an other assembly than by web project. My project looks somewhat like this:
Project 1
--> Dat
Easier way is to take connection string from Web.Config and copy them into App.Config and point EDMX's connectionstring to same DB information. e.g
Also you need to check if the namespaces are correct if you have moved Database.edmx from Project 2 to Project 1, which you can check by opening Database.edmx and goto code behind.