Palettes do not Expand
No selected palettes on right hand side will expand to view contents. Requires quit and re-open to fix

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Lukasz Pogoda commented
The issue is resurfacing again...
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K-O commented
I have the same issue frequently on M1. Never had on past versions of AI.
Collapsed and docked palettes stop expanding/working. They also fully disappear if I change my Screen Mode (see pics) -
NeilJ commented
This happened to me on a company account for years – the Neil earlier in the thread was also me. It seemed like it was linked to my account and my custom workspaces as it happened on my home computer too when doing company business. I am now freelance and have the same problem with my own account with standard workspaces even on the latest version of Illustrator. Sometimes also on Photoshop. As before, using the application frame makes the palettes usable again, but I hate using the application frame and shouldn't have to do it.
CC2020 on iMac Retina 5K, 2017 – Catalina
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Neil commented
This issue is back after disappearing for a while. It was originally an InDesign problem I had for years on different Macs, OS and CC versions. It then moved over to Illustrator and, occasionally, Photoshop too. The old rule that turning the application frame on brings it back still works but I shouldn't have to work in that way to stop this happening.
CC2020 on iMac Retina 5K, 2017 – Catalina
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Neil commented
This had happened to me for years on InDesign and was the subject of a long-standing thread which should have been fixed in CC2019, apparently:
It also happened in Illustrator and has since got worse, plus it now also happens in Photoshop. Ditching preferences and/or cache are a temporary solution, but not for long.
CC2019 on iMac Retina 5K, 2017 – Mojave
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Matt Bale commented
Illustrator 2019 on iMac Retina 5k, Late 2014 - High Sierra