Hello YRK,

You are using Lookup select box type variable (i.e reference type) to show the Contract subtype field values from sys_choice table on the catalog form. But when you configure the catalog UI Policy it will show all the values available for this variable on the catalog item. 

In your reference qualifier you are using current.variables.u_type_of_contract and when setting the UI Policy condition reference qualifier won't run or even if it run current.variables.u_type_of_contract is not have any value and you will not see the expected values that you are looking to see.

In catalog UI policy condition field you will see all the values that are applicable or available for that field. Could you please share what values you want to see in the condition field for contract subtype field in UI Policy.

Hence I would suggest you to use Select box type for your variable.

Please refer this similar raised by other user.

Please mark this as helpful/correct, if it answer your question.

Thanks