The overlap error you are hitting is a Unity Catalog storage collision, not a DLT limitation.

Here is exactly what is happening and how to fix it:

The path you provided for "delta.universalFormat.compatibility.location" (abfss://.../bronce_name_location/...) is overlapping with an existing Volume, External Table, or the managed storage path of the schema itself. Unity Catalog strictly prevents multiple entities from managing the same storage path to avoid data corruption.

To expose this DLT table via Compatibility Mode without conflicts, you need to write the compatibility metadata to a dedicated, isolated path.

1. Create a new, dedicated path in your ADLS container strictly for compatibility metadata (e.g., abfss://xxx@accountname.dfs.core.windows.net/compatibility_metadata/).

2. Register this new path as an External Location in Unity Catalog (and ensure the DLT pipeline's cluster/identity has write permissions to it).

3. Update your DLT decorator to point to this clean path:

table_properties={
    "delta.universalFormat.enabledFormats": "compatibility",
    "delta.universalFormat.compatibility.location": "abfss://xxx@accountname.dfs.core.windows.net/compatibility_metadata/use_case/table_name",
}

Once you point the compatibility location to a distinct, non-overlapping path, DLT will successfully create the streaming table and maintain the read-only Iceberg/Delta formats for Snowflake!