Sheesh! Too long since I've looked at FPD26 really well. Chalk it up to a brain cramp! I figured it out. Pretty simple it was too. :o) For lurkers, I put the below code in the m.repfrm VALID and the m.whatorder WHEN and it works:

* m.pol_repfrm VALID
FUNCTION _0ru0txux7     &&  m.pol_repfrm VALID
#REGION 1
IF m.pol_repfrm = "Policy Summary"
	pol_group    = '       '
	pol_group(1) = 'COMPANY'
	SHOW GETS
ELSE
        *Restrict the order by popup to 'name' only if labels are selected
	IF "LABELS" $ UPPER(m.pol_repfrm)
		pol_group    = '       '
		pol_group(1) = ''
		m.whatorder = 'NAME'
		SHOW GETS
	ELSE
		SHOW GETS OFF
	ENDIF
ENDIF

*m.whatorder WHEN included in get statement below
@ 15,25 GET m.whatorder ;
	PICTURE "@^ NAME;POLICY#;EFFECTIVE;EXPIRATION" ;
	SIZE 3,14 ;
	DEFAULT "NAME" ;
	WHEN m.criteria .and.  ! "LABELS" $ UPPER(m.pol_repfrm)