Linear Dataset Allocation failed with error ADR729E

Products

• Allocate DASD Space and Placement

Issue/Introduction

We have an Issue with DSS move for Linear datasets and getting ADR729E message. DSS move failed where VAM is up and running. 
ADR729E (001)-MRMIO(01), UNABLE TO ALLOCATE SUFFICIENT SPACE TO PROCESS DATA SET xxxxx

Environment

Release:
Component: ALLOC

Resolution

In the CA Allocate Users Guide, is this...
CA Allocate is unable to successfully redirect non-SMS-managed DFDSS-requested allocations.
Unpredictable results can occur if the bypass DD statement, default name VDSBYPAS, is not used
to exempt such allocations from processing.