Project reference could not be resolved

Hello,
we’ve noticed a bug when if a project A has a reference to a project B and the project B has a reference to a project C then if you build project A you’d get an error:

Project Reference ‘…\GEN\GEN.elements’ could not be resolved for target ‘Echoes’ (Echoes .NET anycpu).

But the system of referencing is still the same and if you try tu build project B then the C reference resolves just fine. All projects ale .elements files.

Thank you in advance,
David

David,

could you make a small test case that shows this?