Settlement documents already created for condition record

What causes this issue?

Settlement documents (billing documents or credit note documents) have
already been created for the condition record.
Provision has been made for the manual resetting of the status only in
the case of condition records for which no settlement document has been
created in the course of settlement accounting with respect to the
rebate arrangement (no business volume data, no income).

System Response

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

How to fix this error?

If you wish to reset the status of this condition record, you must
first cancel a settlement document.

Error message extract from SAP system. Copyright SAP SE.