Smart label referencing other smart labels fails (4300500)

When creating a Smart Label querying another SMART label, the new label is not applied to the devices. 

In Inventory | Computer | Create Smart Label | Test, the label seems to pull the correct devices, but it is not applied to devices after Inventory.

1. Go to  Home | Label Management | Smart Labels | Choose Action | Order Labels then choose the type of label.

2. If label A includes criteria based on label B, label A should be given a higher number in execution priority so it executes after label B.

3. Save the changes for each of the labels individually and also at the bottom of the page.
4. Force nventory on one of the devices to which the compound label should apply. It should appear within a minute in the Smart Label.

Next select the label that needs to run first and click on the blue pencil icon.

Change the Order number to any number lower than 100.
The lower number is always evaluated first.
Select Save when finished editing.
Test the smart label for proper operation. 

Note: A inventory check in must be done before a smart label will apply to the device.