I’m not sure if this is actually a bug, or just the way the feature was designed, but the little yellow ‘look’ indicator seems to remain on when you collapse a character’s profile (But not close it using the X).
The issue with this, in my opinion, is that people can get stuck in a state where they are effectively ‘staring’ at you. They intend to close away the profile by collapsing it, but then forget the profile is still technically open because they didn’t click the X. This makes the indicator remain on when they really aren’t looking.
I consider the look indicator to be a very cool feature, and gives an actual indication of someone intently looking at your character.
I’m not sure if this is a bug, or the way it was designed to work, but just wanted to point that out.