I can not follow you. Can you give a specific example? e.g. Type "x" in H4 and after Enter a MsgBox tells me that "x" is not in the =INDIRECT(INDEX(VERIFICATION_RANGE_FOR_FREE_TEXT,RELATIVE_POSITION_WORKSHEE T_A))

That is how H11 is working with data validation.

The purpose of data validation is to stop you from making a bad entry. It will show the Error Alert dialog and tell you.