A demo of the bug can be found here: https://github.com/Twinbird24/vue-scale-transition-example/tree/simplified
A video demonstration of the bug can be found here: https://gofile.io/?c=4HwzAT
Here is the code on Stackblitz: https://stackblitz.com/edit/vuejs-starter-ndpy8b?file=styles.css. Click on the css file (styles.css) to change the scale and you'll discover the bug.
The code found in the GitHub/ Stackblitz linked above contains two divs that are fading in and out through the use of Vue transitions. There is a third div that is absolutely positioned above these transitioning divs. The bug appears when you change the scale of the container that holds all of these divs (look for the commented CSS for the source of the bug). After a certain point, the z-index of the third absolutely positioned div will break, and it will become covered up by the transitioning div. This bug appears in Chrome, but doesn't seem to be apparent in Firefox.