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When drawing a path inside a path, only points are drawn instead of a line - previously drawing a cutout in a path worked before version 22.3.1. correct - please return this functionality
There are issues in Paths editing in Photoshop 22.3.1 Adobe is aware of this and are working on the problems. If to search this forum there are work around ways to use path tools so the bugs don't bite. Using Photoshop 21.2.7 IMO is the best option.