when the rare item in your recycling bin works or doesn’t work
For the record, it doesn't have anything directly to do with being in a party. The "glitch" fails to work anytime you
pool an item that is already in your Recycling Bin, solo or party. if you QM while having a shard in your Recycling Bin, the shard will drop just the same as it would if you were solo. Conversely, if you are solo and your inventory is full, drops default to the pool vs your individual inventory. If you have a rare item in your Recycle Bin at the time the new item is pooled, you can't receive the newer rare item at all.
Talked about this a bit ago, but it's some arbitrary spaghetti code that does a check on the pool of newly dropped mats to your Recycle Bin. It seems they didn't include this check if items autodrop to your main bag.