I always use Total Commander to manage files. Coming from DOS era, the similarity of the keyboard shortcuts for basic file operations with Norton Commander are one thing. Possibility to fully customize it to fit your taste is another. It has many features too like integrated FTP client, compressing and uncompressing files, etc. So until this afternoon when I used Windows Explorer to browse files, I am not really aware of this bug.
If you are using Windows Explorer in Windows 7, on the left side you will see tree that lists your Favorite places, Libraries, your drives, etc. If you click one of your drive, it will display list of folders inside that drive. Folders that have folders inside them are displayed with white arrow. If you click the white arrow, it changes into black arrow and the folders inside that particular folder will be displayed.
Expand some folders so that the vertical scroll bar of the left side appears. Scroll the vertical scroll bar so that there will be some space on the top and bottom of the bar. More space will make this bug more obvious (see Figure 1). Now select a folder with white arrow (the folder that contains other folders but is not expanded yet), the right side will display the contained folders and files. Click the white arrow of the selected folder on the left side. You will see the selected folder moves to near the bottom of the screen (Figure 2). If I recall correctly, in previous version of Windows the folder just stays in its position and the contained folders will be listed below it.
There are many discussions about this bug like here and here. There are videos posted on YouTube too to explain about this bug such as this one.
Hopefully Microsoft will fix this bug soon.
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