Bug when using WordPress should correct invalidly nested XHTML automatically with lists

[racqnhack]

To duplicate:

Enable "WordPress should correct invalidly nested XHTML automatically" in Settings -> Writing

Create new page.

Create new bullet list with nested list

Hit Preview and see that lists (html) are coming out different.

Then, disable and try again and see that lists work now.

I can duplicate this on all my wp sites.

New version of force_balance_tags function

I can confirm the problem as well. I did some extra testing on this and found the problem with other nested types like dictionary lists, too. I have rewritten the force_balance_tags function to loop through nested tags differently to avoid this problem. I also added the ability to skip balancing tags inside certain tags (like script and style) where it may be problematic.

Thoughts?

Looks like this may be due to a TinyMCE upgrade to 3.2.1 not working with _balance_tags properly.

Tested patch and it did not change the results, as mentioned before this is not just a problem with the function.

This appears to be something to be fixed in 3.3 with TinyMCE upgrade (in which this has been fixed).

Duplicate (same issue with TinyMCE) of: http://core.trac.wordpress.org/ticket/18261