I've noticed my characters deform weirdly since the new update. I am doing test scenes, I changed nothing in my puppet but whenever I move my head it creates the effect below.
If none of these help, could you please File > Export > Puppet and share it as a link (Creative Cloud, Google Drive, Dropbox, etc.) so we could take a closer look?
I ended up importing the puppet into another project and it isn't doing it anymore. I will keep these settings in mind next time, however.
I do seem to have an issue with another puppet. For some reason, the swap sets work for on mouth (smile) but not for the other (sad)
Neutral and Smile are canonical tag names, Sad is not - I'm guessing that's it. I'd recommend setting up a normal mouth and then a separate alternative folder as seen in Almasol in http://okaysamurai.com/puppets/.