User A shared Folder 1 from their OneDrive with User C with edit permission using the link sharing.
User B shared Folder 2 from their OneDrive with User C with edit permission using the link sharing.
[few days later]
User C copied Sub-Folder 1 from shared Folder 1 to shared Folder 2. So now Sub-Folder 1 exists both in share Folder 1 and shared Folder 2.
[few days later]
Then User C moved the Sub-Folder 1 from shared Folder 1 to shared Folder 2 merging with the previously copied Sub-Folder 1.
[few hours later]
The local OneDrive shared Folder 1 for User C was not showing as containing Sub-Folder 1 [as expected]. But the online OneDrive Folder 1 for User C was still showing as still containing Sub-Folder 1 [not as expected]. OneDrive was showing all files synced.
Then User C moved the Sub-Folder 1 from shared Folder 2 to shared Folder 1 [back to original location].
The local OneDrive shared Folder 2 for User C was not showing as containing Sub-Folder 1 [as expected]. But the online OneDrive Folder 2 for User C & B was showing as still containing Sub-Folder 1 [not as expected]. OneDrive was showing all files synced.
Is there an explanation why when removing a sub-folder from a shared folder still shows it in OneDrive online for the user and for the owner?
All 3 users are part of the same organization in Microsoft 365. The OneDrive referred is part of Microsoft 365 Business Standard. The folders are shared from each user's OneDrive and not a SharePoint location. OneDrive software on Windows 11 was showing as synced during all this. OneDrive in Windows is appearing as just OneDrive and not as OneDrive for Business.