Hi
Can't duplicate this with 3.58. Added a video clip followed by a black blank frame as background for text.
Added a text with vertical scrolling to the overlay track above the blank frame.
With no transition on the video clip the sequence played normally and the text scrolled up as the blank frame played.
Added a crossfade transition to the first clip/blank frame....Text played correctly as above.
Adding the text to follow the video clip on the main sequence line without a blank frame also played correctly with and without a crossfade transition. (Text played against a black background.)
Same result for all the other scroll directions.
So...can't say why this seems be happening for you.......?Version?
Nat