You need to select either sizing and placement compute policy.The selected VM template is tagged with '<policy name>' policy that is not valid for this VDC. Please select a different template.Modifiable checkbox is not selected.VMware Cloud Director 10.6.x
vApp templates can be tagged with sizing and placement policies to associate these policies to items deployed from the template, by default. If the Modifiable checkbox is not selected, however, this association cannot be altered upon deployment and, if the policy is not valid for the destination organization VDC, the deployment of the template cannot be performed.
The following options are available to address the behavior:
Option 1: Select the Modifiable checkbox on the template for the policy in question to permit alteration of the policy during deployment, as detailed in the document below:
Assign a VM Placement Policy and a VM Sizing Policy to a vApp Template Using Your VMware Cloud Director Tenant Portal
Option 2: Add the policy to the destination VDC so that it is a valid option for the deployment. For more information about assigning policies to the organization VDC, please refer to the following documentation:
Add a VM Sizing Policy to an Organization VDC in VMware Cloud Director
Add a VM Placement Policy to an Organization VDC in VMware Cloud Director
Option 3: Select an alternate template that is compatible with the destination organization VDC.