Why is AVD remove client's maximize to current display option grayed out?

I'm using Microsoft's remote desktop client to connect to an Azure Virtual Desktop. I have multiple screens and wish to maximize AVD window to only one of them. The remote desktop software sometimes allow this via the "Maximize to current display" option, but sometimes the option is grayed out. Why does it do that and what do I have to do to turn this option on?

Image of the option

I've tried to restart remote desktop, it does not help.

When I try the same using Microsoft's remote desktop client and connected to an Azure Virtual Desktop like below:

Note that: Maximize to current display option in the Microsoft Remote Desktop client is only available when the remote desktop session is in windowed mode. If the option is grayed out, it means that the remote desktop session is currently in Full-screen modeWhen disabled, the session goes full screen on the same displays on the last time and it was full screen.

To enable the Maximize to current display option, you need to exit full-screen mode and switch to windowed mode.

Once you are in windowed mode, you should be able to select the Maximize to current display option. This will maximize the remote desktop session to the current display only.

If still issue persists, ensure that the resolution is set to the same value as your local display and restore the Remote desktop window and use different remote desktop client to connect to the Azure Virtual Desktop.