The administrator would not have an option to disable a user if the License seat count has exceeded in Web TimeSheet, and the application will display an error message similair to the below given.

The seat count has been exceeded on Web TimeSheet Time & Attendance.

 

 

Resolution:
The administrator has to disable the exceeded number of license seat assignments for as many users. After disabling the license seat assignments, log out of the application, log in again.
On logging in the administrator will have the option to disable any user.