Error: "The selected VM template is tagged with "System Default" policy that is not valid for this VDC. Please select a different policy" occurs when editing a VM

Products

• VMware Cloud Director

Issue/Introduction

• When you attempt to modify the resources of a deployed VM in the VMware Cloud Director (VCD) UI, you see an error similar to:
  
  The selected VM template is tagged with "System Default" policy that is not valid for this VDC. Please select a different policy.
  
  
• When you try to modify the Sizing Policy of the VM, you also see an error similar to:
  
  You need to select either sizing or placement compute policy.

Environment

• VMware Cloud Director 10.5.1.1
• VMware Cloud Director 10.6.1

Cause

This issue will occur if the VM is linked to a compute policy which is not associated to the Organization VDC where the VM resides.

Resolution

To resolve this issue, contact Broadcom Support and note this Article ID (399284) in the problem description. For more information, see Creating and managing Broadcom cases.

Additional Information

This article is applicable to VMs that are already deployed which encounter the error during an attempt to edit the VM. If you experience this error during a new deployment attempt from a vApp template, see You need to select either sizing and placement compute policy error encountered when attempting to deploy a vApp from a catalog template in VMware Cloud Director.