Fix - Don't show RBR on the LHN for transaction threads with violations if the report has already been reimbursed/settled

src/components/LHNOptionsList/OptionRowLHNData.tsx

@@ -37,7 +37,7 @@ function OptionRowLHNData({
 
     const optionItemRef = useRef<OptionData>();
 
-    const hasViolations = canUseViolations && ReportUtils.doesTransactionThreadHaveViolations(fullReport, transactionViolations, parentReportAction ?? null);
+    const hasViolations = canUseViolations && ReportUtils.shouldDisplayTransactionThreadViolations(fullReport, transactionViolations, parentReportAction ?? null);
 
     const optionItem = useMemo(() => {
         // Note: ideally we'd have this as a dependent selector in onyx!

src/libs/ReportUtils.ts

@@ -4155,9 +4155,27 @@ function doesTransactionThreadHaveViolations(report: OnyxEntry<Report>, transact
     if (report?.stateNum !== CONST.REPORT.STATE_NUM.OPEN && report?.stateNum !== CONST.REPORT.STATE_NUM.SUBMITTED) {
         return false;
     }
+
     return TransactionUtils.hasViolation(IOUTransactionID, transactionViolations);
 }
 
+/**
+ * Checks if we should display violation - we display violations when the money request has violation and it is not settled
+ */
+function shouldDisplayTransactionThreadViolations(
+    report: OnyxEntry<Report>,
+    transactionViolations: OnyxCollection<TransactionViolation[]>,
+    parentReportAction: OnyxEntry<ReportAction>,
+): boolean {
+    if (parentReportAction?.actionName !== CONST.REPORT.ACTIONS.TYPE.IOU) {
+        return false;
+    }
+
+    const {IOUReportID} = parentReportAction.originalMessage ?? {};
+
+    return doesTransactionThreadHaveViolations(report, transactionViolations, parentReportAction) && !isSettled(IOUReportID);
+}
+
 /**
  * Checks to see if a report contains a violation
  */
@@ -5516,6 +5534,7 @@ export {
     getRoom,
     canEditReportDescription,
     doesTransactionThreadHaveViolations,
+    shouldDisplayTransactionThreadViolations,
     hasViolations,
     navigateToPrivateNotes,
     canEditWriteCapability,