SOLVED! or at least I found out what is causing the issue. Would be great to get some other users to try to reproduce this on Windows and Mac platforms and see if this is an isolated case or not.
Note: Disabling the right-click pop-up menu could be an intended feature but given how often I use the right click pop-up in the Project panel I can’t think of a single reason to disable it.
Here is the Bug Report I submitted to Adobe
Steps to Reproduce Bug:
1. Set an out point in any sequence without an in point. The problem does not occur the other way around (in point without an outpoint)
2. Try to right-click a sequence in the Project panel and you don’t get a pop-up menu with Cut, Copy, Paste, etc.
3. Set in point or remove out point and you can right-click a sequence in the Project panel and have the pop-up options active again
Results:
-Disabled right-click pop-up menu issue happens whether or not sequence is empty or has media on it.
-The issue only occurs when the active sequence tab has an out point set without no in point. If you click another tab in the Sequence panel with in/out points, in point only, or no in/out points and then the right-click a sequence in the Project panel, the pop-up menu is active again
-Has been tested in existing projects and newly created test project. Has not been tested in Mac OS X. Only tested on Windows 10