When an item in “held” status is canceled by the patron and then checked in by staff, it prints a hold slip for the next patron as usual. BUT, in some cases, while the item says it’s held, it’s listed as requested on the account of the next patron. Additionally, it is not always immediately obvious there is an issue with the hold.
Innovative is aware of the problem and is currently working on a patch. Because of the confusion this can cause, I’d recommend not enabling this feature until a patch is available.
If you need to open your own ticket, consider referencing Innovative ticket #1104201.