Unable to create group layer inside existing group layer in ArcGIS for Desktop?

Question

We have recently had ArcMap 10.3.1 installed and have encountered a frustrating bug. When I try to create a new group layer under an existing group layer, the option is greyed out.

I can't find anything to see if it's a setting I need to change, whether it's a bug or maybe the GIS setup in my company. Similarly, the option to paste a layer to another group layer is greyed out. The only way to do it is by pasting via the data frame name and moving the layer or holding Ctrl and moving the layer. I'm pretty sure I was able to do both of the two problems in ArcMap 10.2.1.

Does anyone have any ideas?

Answer 1

I've seen this happen for two reasons but first try grouping the layers you want to add, then select and move that group under the existing group. If that isn't the trick check the following items

1. The group you're trying to add to OR the file(s) you're trying to add to the group layer have a set scale range. Layer Properties --> General tab

2. The group you're trying to add to OR the file(s) you're trying to add to the group layer have different coordinate systems than each other or the data frame.