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Do contracts required for Project Sales order?

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Summary:

Whenever a sales order transaction is created on a project we are unable to create a sales order with a message giving as 'project does'nt have an active contract assigned'

Content (required):

Whenever a sales order transaction is created on a project we are unable to create a sales order with message giving as 'project does'nt have an active contract assigned' so we need to know if contract assignment mandatory on project for sales order creation?

If so can you please let us know with pointers on the need for the same.

Version (include the version you are using, if applicable):Oracle Fusion Cloud Applications 23A (11.13.23.01.0)

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