Excel Online Formatting

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I am sharing an Excel online (web based) sheet with co workers. The sheet is used for coordination of equipment, no calculations - text only in cells.
When double clicking a cell to enter text, the formatting options grey out. We use red and black fonts in each cell.
When the sheet was first built, this was working fine.
Also, when opening the sheet in the desktop app, the formatting buttons on the ribbon do not grey out and we are able to select any colour combination for fonts.

Any suggestions on how to fix this issue?
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