Google Docs Bug
So, instead of doing this the right way, which is submitting a bug report to google, I am going to do this the blogger way:
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Publish article to blog about problem in product - 
Wait for traffic to rise on blog 
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Become giddy at rise in traffic due to outstanding title 
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Watch as traffic falls within days 
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Become angry and write retort (in said blog, still not contacting the company) getting mad about the STILL unfixed problem 
 
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Actually thats a lie, here is what I reported to Google after I wrote the above statement:
This problem only happens in a specific sequence of events, but can be easily reproduced.
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User 1 opens Google Doc that is collaboratively edited. - 
User 1 closes browser (with save session ability) 
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User 2 opens Google Doc and makes an edit to that same document 
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User 2 saves the new edits (through AutoSave or save/close or save) 
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User 1 at any point after this save (User 2 doesn’t have to have the document closed), opens his saved session browser and it opens the old version of the doc. If user 1 then waits long enough for AutoSave to do its thing or save/closes it, then the document is saved in its old status. 
 
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This can easily be fixed by reverting via revision history to the “newer” version, but also can easily go unnoticed. A suggestion for a fix would be a nice popup on User 1’s screen saying that there is a newer version of that document available.
If you have a fix, please leave a comment. I would really hate to find out that this is a simple preferences setting.