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This is a pretty common issue with dropdown libraries, common solutions include closing the dropdown on any parent scroll or trying to dynamically keep the position updated with a transform.
When using portaling, the dropdown position becomes bugged when a parent is scrolled while the dropdown is open.
Screen.Recording.2021-04-23.at.16.24.45.mov
Repro case: https://codesandbox.io/s/react-select-v3-sandbox-forked-lgkms
Also reproducible on the docs page if you manually edit the layout to have overflow.
This is a pretty common issue with dropdown libraries, common solutions include closing the dropdown on any parent scroll or trying to dynamically keep the position updated with a transform.