Ok it looks like sendmail stopped listening because the load average is too high.
See:
http://sendmail.org/m4/tweaking_config.html#confREFUSE_LAYou should figure out why the load average is so high. You might try:
ps awwfux | less
Or:
top
If such a high load average is normal for your server, you might want to increase confREFUSE_LA. E.g put:
define(`confREFUSE_LA', `1000')dnl
in your sendmail.mc file.