Yes, I was able to reproduce the problem if I put the control in a table. I tested in VS 2010, but there was no problem there.
Considering that this problem happens only under very specific conditions and with VS 2008 only, I cannot promise that we will fix it any time soon.
Anyway, thank you for reporting it.
All the best,
the Telerik team
If you want to get updates on new releases, tips and tricks and sneak peeks at our product labs directly from the developers working on the RadControls for ASP.NET AJAX, subscribe to their blog feed