Why do I get 'Name is Invalid' error when trying to create a project using createProject() method via the SOAP API?

The default parameters that can be passed to createProject() method are described below.

The default parameters that can be passed to createProject() method are:

 
           (sessionId, name, title, description)
           where, name = URL Name [in UI]
           title = Project Name [in UI]
       

In CSFE, URL Name ['name'] accepts only lower case and the numeric characters. If the value of 'name' contains any other character than the aforesaid, user will end up seeing the 'Name is Invalid' error and the project creation would fail.